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Why? It is better to invest money in properties and not have it in a bank account
When it comes to growing their wealth, many people wonder whether it is better to have their money invested in properties or saved in a bank. Although each option has its own risks and benefits, there are several reasons why investing in properties can be a better choice than keeping money in the bank.
Firstly, investing in properties can provide a passive income stream. If you decide to rent out your property, you can receive a monthly income from your tenant. As the value of your property increases over time, so will the rental income.
Secondly, properties are typically a long-term investment. Unlike short-term investments such as stocks, properties tend to have a value that appreciates over time. Investing in properties can provide better stability in the long-term and medium-term compared to more volatile investments.
Additionally, properties are a tangible investment. Unlike financial investments, properties have a physical value that can be seen and touched. This can provide a greater sense of security for some investors.
On the other hand, money in the bank is protected by the Spanish state up to 100,000€, it suffers from inflation and doesn't generate any return unless added to some kind of investment. On the other hand, property investments offer a possibility of value appreciation, income and possibility of capital gain.
In summary, investing in properties can be an excellent option for those looking for a passive income stream, a long-term investment and a tangible investment. However, it is important to keep in mind that investing in properties also carries risks, so it is important to research and seek advice before making a decision.
