Comparing House vs Car: Which is a Better Investment?
The debate between house vs car is a hotly contested one, and one that can cause serious financial headaches. Both have their respective benefits and costs. To make an informed decision it's important to weigh up the short and long-term monetary as well as practical advantages.
With cars, the fact of the matter is that it's a depreciating asset. The moment you drive it off the lot, its resale value begins to decrease. On the other hand, a house can be seen as a long-term investment that appreciates over time - assuming the locations stays desirable. Although real estate investments do have a certain level of risk associated with them, they’re not nearly as precarious as a car investment.
In terms of practicality and convenience, the car wins hands down. It allows for greater freedom and mobility when it comes to transportation. The same cannot be said of a house, as unless you are able to build your own, a house is stationary and unlikely to provide direct convenience in terms of transportation.
Which one then is the better investment? To answer that, the level of financial stability of the individual should be taken into consideration. Houses are better for those who are more financially secure or those looking to make investments that have a relatively low risk factor. Cars are for those looking to enjoy the convenience that comes with it but should be mindful of the fact that it may be a net loss in the long run.