Which Is a Better Investment?


Are you deciding whether to invest in property or the share market?

While at Metropole we are property specialists, we also advocate for diversification, so a healthy investment portfolio should contain an element of both.

Most successful investors have multiple income streams and are shown to hold and benefit from both asset classes.

Therefore, this is not an argument to suggest one will perform better than the other.

This is about my experience growing an asset base and why I think property (residential in particular) has the edge over shares.



As the data shows, there is very little difference between both Australian Shares and Residential Property over the longer term.

It is important to remember we are speaking about averages here.

I know that with both assets that there will be experts that can study, analyse and outperform these markets, or in some cases underperform!

But, overall there is very little difference in performance and I would suggest that this will be the same moving forward.

However, when starting your investment journey, in my experience it is property that leads the way.

So what gives property the edge?


The first factor is being able to leverage more of your own money into growth assets, by using….. someone else’s!

With Residential Property, quite often a standard loan will require a 10% to 20% deposit, in the past, it has been as low as a 5% deposit.

What this means is that with $100,000 of your savings, you could find yourself being able to access funds that would allow you to invest anywhere between $500,000 to $1 million.

You can then purchase a high-growth asset such as property.


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