Shares or Real Estate- Which is Better as Passive Income.

[Etini Willie]

An investment in shares is a system where a person pays some money to become a part owner of an existing viable business. That person receieves a part of the profit depending on the percentage he/ she bought from the company. This is called dividend. Real estate on the other hand is when a person builds structures with the view of making money from reselling or renting it out. In the context of this article, we would be looking at building structures for rent. Which of these can be the most viable source of passive income?

With shares, you get paid every year. If you invested a considerable amount, you also get something reasonable every year. The challenge with shares is that the success or failure of the business is not in your hands as an investor. The board of directors can just make one wrong move and the business bursts up.

Real estate as in rent would give you money yearly too and if well managed is sure to outlive you and even your children. I don't know if shares can be transfered to your children. Real estate edges this one for me. It is stable and it is solely dpendednt on your own effort.

 

[Knowlopedia]

There are many different ways to generate passive income, but two of the most popular methods are through shares and real estate. So, which is the better option?

There are pros and cons to both options. For shares, the main advantage is that you can generate a higher return on investment (ROI). However, there is also a higher level of risk involved, as the value of shares can go up and down.

Real estate, on the other hand, tends to be a more stable investment. The value of property is less likely to fluctuate, and you can also generate rental income from tenants. However, the initial investment cost is usually higher, and it can take longer to see a return on your investment.

So, which is the better option? Ultimately, it depends on your individual circumstances and investment goals. If you're looking for a higher ROI, then shares may be the better option. However, if you're looking for a more stable investment, then real estate may be the better choice.

 

[Augusta]

I will like to go for real estate because it is a better offer for passive income than shares. the thing with shares is that it can crash anytime and money is lose. This is one area of investment that is highly risky for investors and as a passive way of making money.

But for property when once you have it , it is for life and you would be able to make money even time your renting is due if you rent out the property. So if I'm to advised between the two it is better to go into real estate.

 

[niche]

The investment choice depends to a large extent on the corruption levels in the country. In some countries, the stock market is well regulated, so no one falsely claims to own the shares of others. In contrast in some places, the relatives and those who give bribes to security agencies are openly involved in real estate fraud, criminally trespassing on properties of others, committing banking fraud faking property ownership. Managing real estate, preventing criminal trespassing is a major problem for those who are not well connected.