As the economy changes, so does the American perception of financial security and investments. A recent Economy and Personal Finances poll has shown that Americans of different demographics place their faith in the strength of various investments. As of recently, the investment of choice is real estate.
Back in 2008, the real estate and the stock market were both unsafe options for investors so savings accounts were the most popular long-term investment among Americans. This was because of the low risk factors. Once gold became an available option, the precious metal became the most popular choice by 2011 because gold was at its highest market price while real estate and stock values were lower than they are today.
To the relief of much of the American population, the real estate market has been increasing across the country. This steady incline since 2007 may be the reason why as many as half of Americans are considering the housing market to be the best option for long-term investments.
The impact of Demographics Differences on Investment Decisions
According to the Gallup poll, lower-income families making less than $30,000 are most likely to believe that gold is the best long-term investment. This is interesting because this subgroup is the only one of those in the poll to feel this way. Upper-income Americans tend to consider other investment options as superior because of their experience with these type of investments.
Experience seems to be an influential factor when it comes to investments. Stock investors are more apt to declare stocks as the best long-term investment just as home owners and gold owners are more likely to declare the same for their respective markets.
There is also a difference in opinions between age groups and political affiliations. For example, there is a 1 in 4 chance that an American between the ages of 18 and 29 will chose real estate, stocks, gold, or savings accounts as the most successful long-term investment choice. That varies greatly from investors over the age of 65 with Republican ties who have all but abandoned the believe that savings accounts or bonds are a healthy investment.
What this means.
Since the housing market has been improving across the country, Americans have been allowing themselves to trust in real estate as the best long-term investment option. Unfortunately, this notion will continue to leave lower-income and younger Americans looking for safe investments in other places until they are able to experience home ownership for themselves.
There is no way to declare one type of investment universally better than another. An assortment of factors will always influence an individual’s perception of how one investment type is performing because his or her bottom line and financial needs will always differ from others.
Choosing the proper investment type for your financial needs can be complicated and overwhelming. Relieve stress and consult an expert with experience in commercial real estate who can guide you toward the right choice for your business. With over 30 years of experience, Marc Simon can handle virtually any real estate legal matter. For more information about this Las Vegas lawyer contact 702.451.7077 or firstname.lastname@example.org.