Why Real Estate Investment Is Better Than Gold Investment


In today’s fast-paced world, almost everyone understands the importance of making investments. This is the best way to put your money to work and ensure a financially secure future. However, given the number of investment options available in the market, it gets a little difficult to make a choice. It can make a huge difference in where you choose to put your hard-earned money. You would always want to invest in something that can offer consistent returns with enough security. Real estate and gold are two traditional investment avenues that are still relevant in the current scenario.

Real Estate vs. Gold

Since both of these options offer a good hedge against inflation, they can help you build long-term wealth. However, when it comes to picking one of these two, you may find yourself in a never-ending debate. Here is a detailed comparison of these two popular investment options that will help you come out of the dilemma and make a better decision:

Earning Potential

The main purpose of making an investment is to get some good profits. That profit can either be in the form of a lump sum or in small chunks of money received on a regular basis, such as monthly, quarterly, bi-annually, or annually. One of the biggest advantages of real estate investment is its higher earning potential. The prices of real estate properties increase very rapidly and can outpace inflation way better than any other investment, including gold.

Passive Income

Real estate investments are also considered one of the easiest ways to generate regular passive income, which is again not the case with gold assets. Whether you are investing in a residential property or a commercial one, you can easily make a decent profit in the form of rental income. Other than this, you can also use your residential space as an Airbnb or homestay, making it a steady stream of passive income.

Market Volatility and Risk

In present times, you should not only focus on investing your money but also ensure that you minimise the risk. Unlike gold prices, the real estate market does not experience severe fluctuations and is less volatile. Even if it does, these are short-term fluctuations and do not affect your ROI significantly. This is another reason that makes real estate properties a more suitable option to diversify your investment portfolio with minimum risk.

Tax Benefits

Tax savings are also one of the major advantages of property investment. When you invest in a real estate property, you can avail of a number of tax benefits. For example, if you buy a residential property and opt for a home loan, you can save up to INR 1.5 lakh on the principal amount under Section 80C. Similarly, according to Section 24, you are eligible for a decrease in the required interest payment of up to INR 2 lakhs. Gold assets, on the other hand, do not offer any such tax benefits.

Clearly, there are a number of benefits of real estate investments, given that you choose the right property at the right location. Currently, Delhi-NCR, Hyderabad, Chennai, etc. are among the largest real estate hotspots in India. OmShakthy Agencies Private Limited (OSAL) is a leading name in Chennai’s real estate market. So, now you don’t have to make Google searches like 'best place to invest in land in Chennai’ or ‘best place to buy plots in Chennai’. We have a wide range of real estate projects in all the premium localities of the city. All you need to do is explore all the options, and we will help you make a property investment in Chennai at the best prices.


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