The real estate market is often seen as a save haven for investors. Where the stock market trading is frequently seen as a high risk investment.

The truth is there are many advantages to both real estate investing and stock trading. Real estate investors have also been subjected to significant crashes in the housing market.

There have been many housing market crashes in the past. One of the major ones occurred in the early 90’s where house prices crashed down by over 30%. If you a single property or more with borrowed money at this time, it could have been detrimental to your net worth.

The positive note about the housing market is that in the past it has always picked up and gone up. In many parts of the world, there is a growing population and an growing shortage of houses. The leads to a price rise.

It is a similar case with stocks. Crashes have occured on many occasions. Trading stocks is often more of an option to investors with a smaller amount of cash to invest. how to trade stocks is possible with a small amount of money. So mistakes do not have to be costly.

Some stocks are riskier than others. Some traders like to learn how to buy penny stock. These are often the highest risk choices.

Blue chip stocks are often considered to be lower return but much safer. They could be as safe as property. In the long run the major blue chip stocks have performed very well, although there have been some big crashes, just like property market.

One big advantage of stock trading is that there is the option to get a SIMULATED stock trading account. This permits you to practice placing your trades with “freebie money”. It can be a hugely more difficult to do this with the property market. It is always a good idea to practice on a dummy account for a while before trading with real money.