When we talk about comparison between Mutual Fund and Real Estate Investment first we talk on Investment amount ,The investment in Mutual Fund can be start from 500/- Rs Monthly (SIP) but in real estate there will be need of amount in Lakhs to invest.
In Mutual fund there is easy liquidity and when ever there is need of money one can withdraw money easly and also in portion but in real estate the money can not be liquidated easly .
In Mutual Fund there is no registration fees ,stamp fees etc but for investing in Real Estate there is requirement of Registration Fees and Stamp fees which are on higher side.
In Mutual Fund there is no maintenance required we have to invest and your fund manager will manage all the things but in Real Estate there is maintenance of property required and thus involves the cost also.
In Mutual Fund the returns are average from 12% to 15 % but in Real Estate the returns depends upon locality and infrastructure growth.
So keeping in mind the above difference one should invest in the instrument keeping the below factors in mind.
- Liquidity
- Maintenance
- Investment Amount