When we are discussing the pros and cons of investing in “stocks and shares” versus “property” we are also, in essence, discussing the pros and cons of investing in “traditional pensions” versus “property” as most traditional pensions are invested in global stock markets.

While these days analysts will often accept that property was the “better” investment in a given year than stocks and shares, a distorted picture is still often given (generally unintentionally) to the detriment of property investment as they do not take into account or explain some of the major advantages that property investment has over stocks and shares.

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Property investment

Nowadays, It is very difficult to decide to invest property when the property market has done a downturn. Having question for you that you should

invest in the property at this time? I think that this is a golden opportunity to increase your investments. If you have intention to hold long term, you

have to accept the market fluctuations over the years.

If the market is experiencing a severe downturn it is a great time to be buying because there will be a large number of bargains. Just check the

foreclosure lists and mortgagee auctions. You can pick and choose and buy at rock bottom prices. A word of caution, however, do not get too

negatively geared because this is how most investors get themselves into trouble in the first place. Go for positive gearing. In other words make sure

your rental income equals or exceeds your outgoing including mortgage repayments. If you have other income you may be able to stand an extra $100

or more per month to top up the mortgage but try to avoid it. There is nothing so good as sleeping easy at night knowing that the mortgage payments

are taken care of. Negative gearing is ok if you have a really good income and a tax problem.

If the property market is rising rapidly you can be confident that the value of your investment is increasing. That is where your profit is and you

should be able to sell relatively easily if necessary. However, that was when the market was buoyant but now the reality is that the market has

dropped and you need to be able to hold long term without any worries. It may take a few years before we hit healthy real estate selling conditions

again, let alone a property boom.

Meanwhile , concentrate on positive gearing and steadily increasing returns. This is a long term game and always has been. Look at property

investing from a business perspective and do the sums before you buy. You need a decent return on investment and you need the rental return to

cover or nearly cover the mortgage expenditure.

The following report includes some fascinating information about property investment idea you can use research and due diligence the down and

depressed market presents serious investors with the best opportunities to build a portfolio of profitable properties for long term gains.