In the past, most property investments were dominated by single or family houses. However, with the popularization of apartments, is a house still worth investing?
Which is the better option between the two? There’s no definite answer to this question. Depending on the category, an apartment might be a better investment than a house, and vice versa.
That said, prior to making an investment, it is worth mentioning that investors should consider some factors. Aside from its price, other factors to consider include availability, sustainability, and its prospects as well.
Also, a research in property investment does not only apply when investors want to generate money from it. It’s is as crucial as when investors want to buy it for personal use.
Given the overview above, here are some comparisons between investing in apartments and houses.
Also Read: Why You Should Not Buy a House, Eric Roberge Explains
Cost Efficiency
In terms of cost efficiency, investing in a house is considerably a better idea if you want to make it as an income generator. Arguably, 60 units of houses are cheaper to invest in, as a starter, than 60 units of apartment rooms.
However, for personal use, a fully-furnished apartment is often less expensive as most houses in the market do not come with furniture. Filling a house with furniture that need some installations might result in more expenses.
Short or Long-term Use
For the time being, a house is more reliable and stable for a long-term investment. For business purposes, many people most likely set a house ownership as a life goal due to historic reasons.
On the other hand, apartment is better suited for short-term use as most youths tend to rent it. However, the future might say otherwise as recent cases suggest that it yields more ROI.
Lifestyle Trends and Responsibility
As these factors are more personal, determining them should accord to the situation in each region. In a busy metropolis, for instance, apartment might be better since busy people tend to want less responsibility to take care of their space.
In more urban areas, a house can provide more freedom for customization as this might be a good recreational activity in their spare time. Additionally, houses are more flexible for customization than apartment rooms.
Also Read: A Guide for Real Estate Investment
