Let's Debate about Investment instruments of Real Estate Vs Sensex.

i have been wondering from last one year to co-relate real estate and sensex (stock exchange) which are both major choices for investment as people's general views that sensex is falling sharply so the real estate will be also. that made me think more how people are relating the both investment instruments which have quite a big differance in basics and fundamentals. i would really like to share my all blog readers about it and that'y putting my point of view for further discussion:

About Sensex: the stock market is treaded with the valuation of piece of paper which has print value of Rs. 10 per share majorly of various companies and people buys it on the market value 0f 100 multiplications, now i have a question that if any one holds share bought at market value and keeps it and see sensex goes up and feels that price of share has risen to extent where there is huge increament in price but at that point also if someone keep holding it and expact return then let me tell you the only return without selling the share will be dividend and this dividend is paid upon that 10 Rs. value. tell me what is return of investment? now let me take scnerio if someone enter sensex market to sell shares which i believe all people agree that like a gamble to play and we have already seen the results in current fall of sensex. therefore investment in sensex is not a cup of everyone tea, it is most risky instrument where you lost your hardend money in few hours....

On the contrary, the Real Estate investment is dealt with buying properties where also we are seeing the sentiments are low so prices are falling but not to the extent of share market, top of it the most important point to be considered that to some extent there is a limit of land everywhere and specially the billion people country like india will always have demands for more property, now lets talk about return of investment, the major return of investment instrument of property is Rental Income, if people stop buying in current situation the rent price will go up and the rental income will continously rise.

My point is that the long term scenrio for investment in properties is always bright which is having very less risk compared to sensex and we should not stop investing real estate by seeing sensex crash even it should encourage more people to divert their investment from sensex market to properties for security of their investment and real returns.