Property vs stocks, crypto and more – where should you invest?

If you’re looking for places to invest your wealth and protect it these days, then it might feel as though the potential avenues are narrowing.

The UK and the wider world economy are facing some turbulent times right now thanks to big outside influences such as post-Covid inflation as well as the war in Ukraine. These factors alone have had the not-insignificant effect of inflating prices all around the world and driving inflation.

The UK government, as well as others, haven’t got as much wiggle room as they’d like when it comes to spending or reducing taxes and, as such, it’s looking like a slow road back to the normality of inflation at around 2-3%, rather than the 10% it currently sits at.

That has had a significant impact too on things like stocks and shares, crypto and usually stable assets like gold, silver and oil.

As a result, more and more investors are looking to enter the UK buy-to-let market. With this in mind, we thought we’d offer a quick breakdown of the performance of property vs stocks, shares, crypto and more!

Property vs stocks and shares

The UK stocks and shares market has been bumpy recently thanks to inflation, government mismanagement and its connection to the health of UK business.

Overall, the FTSE 100 has risen 4.6% over the past 12 months, however, this is a bit of an underperformance considering past years and the overall growth of the UK economy.

Whilst there is definitely value to be found in stocks and shares here, it’s certainly not as healthy as the typical 10% or more than the UK property market has been growing at over the past 12 months

Property vs crypto

Crypto has, in fairness, made something of a recovery recently, meaning that it’s probably bottomed out.

Bitcoin, as an example, has risen 10% in the past month but remains almost 50% down from its value a year ago.

It’s perfectly possible that crypto could make a comeback to its highs seen a few years ago, but it’s likely to be a long and arduous road rather than quick and easy.

What about gold and other assets?

Gold, silver, precious metals and oil can be seen as good, stable investments in turbulent times, however, the war in Ukraine has meant that these aren’t so reliable anymore. Whilst oil initially shot up hugely in value due to supply constraints, this is now back to pretty much where it started.

In 2022, the average selling price of gold decreased annually by 0.23%, a slight increase on the year prior in which the price decreased by 3.51% (Macrotrends).

In comparison, the rise in rental income plus healthy house price growth makes UK property the best investment on the market right now, not just for growing your wealth, but also for a good and reliable income.

Invest with Knight Knox

Whether you are a seasoned investor or looking to enter the market for the first time, Knight Knox make investing in property simple.

We have an expert team of sales and after-sales staff who have specialist knowledge in buy-to-let investment and will be on hand to assist you throughout the entire purchase process.

Take a look at our current investment opportunities here and get in touch today!