If you are a newbie investor, you may be overwhelmed by the many choices of investment that there are to choose from, and you may be uncertain which one is the best one for you to pick to start off your investment career. Therefore, here is an assortment of the best investments that you should try first before going onto other, more tricky types of investment.
One of the most popular investments to make for first-time investors, as well as those who want to make a one-off investment, is real estate. Real estate is a relatively safe option compared to other types of investments as the property market is relatively stable long term and goes up and down regularly. Not only this, but you can decide to sell the property whenever you choose to, and you can even make money while you own it by renting it out if you cannot resell the property immediately. However, when you are investing in real estate, you will need a large lump sum that can act as a deposit and which you can use to renovate the property in question. So, if you are looking for a fix and flip loan or a distressed property loan, you should consider speaking to private money lenders to see whether you ate eligible for one.
Although gold is a bit riskier than real estate in the short term because its value on the market can fluctuate, gold is a much safer option than a lot of others since its value does not usually decrease over years. Therefore, you should consider investing even a small amount of money into gold if you are looking to diversify your portfolio, especially if you are planning to hold this investment for a long period. You should also try not to panic when the price of gold drops, as it is likely to return to its usual value after a while and messing with your investment when the value of gold decreases is likely to make you lose money that you do not have to lose.
Another of the easiest investments to make is savings bonds, as these can offer you a great way to save all of your money while allowing you to earn interest on the amount that you save. However, the amount of interest that you earn can change, and you should know that it is not as simple as withdrawing your savings bonds whenever you need them, with it being necessary to have the bonds for a year before withdrawing your money. However, they are also incredibly safe as they are backed and supported by the government.
Stocks and Shares
If you are feeling a little more adventurous, you should consider trying stocks and shares, starting with investing just a little bit of your money at first. This will ensure that you do not make a big loss while learning how to manage your stocks and shares. If you want to keep track of the market, you can download an app that can allow you to follow the stock market and see how your shares and stocks are doing.