Looking at the graphs, you might think, “if it’s such a no-brainer to invest in property … why wouldn’t everyone do it?”
One reason is that investing in property is a commitment.
If you put $150 into shares each week, you can stop putting in that money at any time.
You can also sell your shares easily and walk away with the money.
Whereas with property, you’ve made a commitment once you've bought it. If you stop topping up the property, the mortgage or the insurance might not get paid. It’s a long term commitment.
For some, this is a benefit. For some, this is a drawback.
So what’s the message?
#1. Yes, you can get life-changing returns through property. But, you need to be prepared for that long term commitment.
You need to be ready for the ups and the downs.
#2. When looking at shares vs property. The returns primarily depend on how you set up the property.
Taking on more debt makes the capital gains more meaningful but will likely mean you need to top up the property.