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Land VS Gold

Gold and Land are two traditional ways of growing your money. Both gold and land have been invested in and exchanged for a great many years. The two are brilliant instruments that help you make money in your sleep with one more promising than the other.

While gold offers the liquidity, Land gives you immense opportunities to give your savings the wings they deserve.

Gold Vs Land

Gold is a precious metal "inherently" valuable. It is a dead weight and provides only a single opportunity for growth. However, gold is a collectable. One can hold gold for short as well as long-term. However short term investment in gold has very little or no returns. One has to wait for many years before their gold manifests into profits. Besides, the gold market is extremely volatile and can at times result in painful losses. Moreover, pre-loved gold fetches very little and may not give you the correct ROI.

Gold certainly has liquidity, but on another, the land has more stability. It is ideal for long-term investment.

Real estate, especially lands and plots give you the flexibility to use it for several uses. It is one of the best ways to produce a regular monthly income in the form of liquid cash. At the same time, it is also the most viable option to multiply your investment by many folds. Especially, in a country like India where the economy is fast-growing and labour is at everyone's disposal- buying, maintaining and selling real estate properties is convenient and cost-effective.

The verdict-

When compared, the land is a more viable option for investors. Once the investor picks his assets, he enjoys the fruits of his investments for the rest of his life.

Benefits of Buying Land

Here are some great benefits of investing in lands and plots:

Low Entry Ticket Size

Investing in plots located in undeveloped localities, connected to national corridors offers you an easy entry into the market. Vacant land is more affordable than established areas and has the potential to grow massively. The cost of maintenance is very less and the availability of labour at your disposal makes it even more advantageous.

Regular Returns

Once you buy a plot, you can customise it for any use. Be it farming, construction, rental garage, etc. This way there is assured income that comes to your account regularly. The same does not stand true for gold.

Tax Benefits

One great point to keep in mind while buying land is the immense benefits it comes with in terms of tax deductions.

Potential to Grow

Appreciation of vacant land is hands down the highest. Sometimes the prices skyrocket, overnight. Besides, the investor can turn around his property in any way. For instance, he can give to a builder for development. It lets you make money in sleep, quite literally.

Enhance Your Living

While gold is just a piece of jewellery that you can show off at family gatherings, the land is a beautiful entity that opens up a doorway of happiness for your family. You can develop it and make extraordinary money, build a beautiful home for your family or make your sweet little garden.

The other interesting perks of investing in real estate include passive income, stable cash flow, tax benefits, portfolio diversification and leverage.

Why Choose Land Over Gold?

Gold is a beautiful metal that has been a part and parcel of our Indian culture and tradition. While it feels great to own a few pieces of them, investment in gold is a risky and daunting choice.

Moreover, in the case of gold, there are several disadvantages:

With gold, there is always a fear of loss not just because of the volatile market but also because of the high chances of theft.
Since they are collectables, their maintenance too is an extremely looming task. Even though digital gold has become the new avenue for investment in gold, the world of the internet is as vulnerable as your locker.
The metal is highly prone to manipulation and you becoming the victim of fraud is something to watch out for.
The returns are cyclic and pre-owned gold does not appreciate well enough. And even if it appreciates, it is mostly because of the devaluation of paper currency. Hence, any gain is nominal.
Gold offers no tax benefits whatsoever.
The ease of selling gold varies from time to time. Finding good buyers too can become difficult as the market is extremely volatile.

The bottom line is that gold can be just another investment but cannot be a haven for your savings. Gold makes sense only for those who have no access to or no trust in the financial system, or expect to be in such a situation. It's an alternate currency.

On the contrary, investment in land or plot allows your savings to massively grow and help you build a great future for yourself and your family.

To Sum It Up

If you are an individual who's looking to multiply your hard-earned money then investment in lands and plots is your anchor. However, the location of the land is an important factor which determines the land value in the future.

That is why, as a smart investor, you should look for lands that are currently priced low but have a huge potential to appreciate. Areas that are at the brim of development, i.e., underdog cities that are newly emerging and areas connected to industrial corridors are some good options to invest in. Once you buy a property, your ability to earn becomes superior, giving you the confidence to live a better life.