cross-posted from: https://lemmy.ml/post/52667780

I’ve started investing in ETFs (S&P 500) but wonder if it would be better to buy a property instead and put it to rent.

I’m in my early 40s and I plan to regularly invest in this and similar worldwide ETFs in the next 25 years, as complement to my public pension.

A coworker told me he saved money to buy a house and put it to rent. He can always move in if he wants and it gives him a stable source of income per month. I don’t know how much.

I don’t know if investing in ETFs in wiser here: on one hand I want a quiet life and now I simply work and the money gets invested automatically once per month. I’ve never been a landlord and I wonder if the learning curve would be too steep. Furthermore, I don’t believe I want to be a landlord. Ain’t it too stressful?

  • CalculaValorHoy@sopuli.xyzEnglish
    1·
    2 days ago

    With a 25-year horizon and a preference for a quiet life, ETFs fit your situation better: they stay liquid, diversified and automatic, while a rental adds tenant, maintenance and vacancy work. I would only choose the property if the net rent after all costs clearly beat the ETF return and I was happy being a landlord.