Investment is part of financial planning. What is investment? Investment is
an activity of placing capital in the form of money or valuable assets into
an object, or to a certain party, with the hope of bringing profits in the
future.
Why Should You Invest?
Inflation is one reason to invest. In economics, inflation is the process of
increasing the price of goods continuously because it is related to market
mechanisms. In developing countries like Indonesia, inflation is
unavoidable.
That's why you need to invest in an effort to beat inflation, and maintain
the value of the money you have. You can also choose long-term investments
as a way to develop wealth or add valuable assets to ensure the welfare of
you and your family in the future.
There are various types of investments that you can choose from. In terms of
time, investments can be grouped into two, namely short-term and long-term
investments. Short-term investment is a type of investment that lasts for a
period of less than one year.
The advantage of short-term investment, you can more easily disburse funds
and be more flexible in managing the availability of funds that you want to
invest. Examples of short-term investments are gold, time deposits, mutual
funds, P2P lending, bonds, and time savings.
Meanwhile, long-term investment is an effort to invest in assets or capital
that requires a long period of time to earn profits. One example of
long-term investment is property. In addition, stocks can also be included
in the category of long-term investments if you want to get bigger profits.
Getting to Know Property Investment
Are you interested in investing in property? Property is property in the
form of land or buildings owned by someone. Property has many forms, ranging
from land, houses, apartments, shop houses, to warehouses.
If you want to invest in property, then all types of property can actually
be used as investments. However, most people choose to invest in their own
house or apartment. Is investing in property profitable? Maybe this is a
basic question for those of you who have never invested in property.
According to research, the average property price has increased by 20% every
year. The increase in property prices is even predicted to be much higher
than bank interest rates. Therefore, property investment is a type of
long-term investment that you should consider.
Which is More Profitable, Home or Apartment Investment?
Houses and apartments are both properties that can be lived in, or rented
out, and can even be resold. When it comes to the law of investing in houses
and apartments, each has its own potential advantages and advantages and
disadvantages.
When viewed from the value of capital gains, it turns out that houses are
superior to apartments. What are capital gains? Capital gain is the amount
of profit earned by an investor when reselling his investment assets.
House prices tend to continue to increase from time to time, especially if
the area around housing is growing with easier access to toll roads, public
facilities, and transportation.
In contrast to house investment, apartment investment has an advantage in
rent value that easily increases every year. Even apartments can be rented
more flexible on a daily basis which benefits can be obtained on a daily
basis as well. Not infrequently some people rent out their apartments as a
family staycation. Like hotels, apartments have supporting facilities, such
as swimming pools, which can be a plus for daily rent.
So in conclusion, house investment is superior in capital gain value, while
apartment investment is superior in rental value.
In addition to considering the advantages and disadvantages that exist,
don't forget to also consider your ability to invest. Everyone has different
financial abilities. Choose the type of investment that is most suitable and
that best suits your abilities and desires.
