New calculator shows property is safest long-term investment

Award-winning national estate agency Yopa has created an investment calculator to help users discover the best and worst historical investment options.

The investment calculator lets users compare popular investment classes including property, gold, silver, the S&P500 ETF, the FTSE100, Brent Crude oil, Apple, and Bitcoin. The calculator shows how much an investment would have risen/depreciated since any given year over the last 20 years.

It’s great news for homeowners: property is one of the safest long-term investments, as house prices tend to stay consistently strong during economic downturns compared to other investment classes. Despite the slower growth of property value compared to the likes of Bitcoin and tech stocks, it is also the more stable option.

It also tends to be better than investing in the stock market. If someone had invested £10,000 in property in 2002, that money would have turned into £24,617 today – a 146% return. Compare that to investing in the FTSE100, which would have turned into just £16,883.

While a lucky few have made hefty profits by investing in cryptocurrency such as Bitcoin, its volatility can also lead to huge losses, particularly for those who are inexperienced. This is especially relevant considering the cost-of-living crisis, where many people are thinking about new ways to bolster their finances.

It’s also likely that concerns over a ‘post-Covid housing bubble’ expressed by many commentators are overplayed. Whilst house prices have indeed increased by 12.4% in the past year, it’s important to remember that when adjusted for inflation this number is actually closer to 3%.

Yopa’s Chief Analyst Mike Scott comments:

“Unlike most financial assets, houses are not interchangeable and generally take a considerable amount of time and money to buy or sell. This makes their prices far less volatile, so you are very unlikely to find that the value of your house has halved or doubled by this time next year. While limiting the potential for a quick profit, this does similarly reduce your chance of making a large loss.”

Methodology:

Sources = Gold, Silver, SPY, BTC, House Prices, FTSE100, APPL stock, Brent Oil

About Yopa Property:

Yopa is an award-winning estate agency that provides an award-winning service for a fair fixed fee. Since its establishment in 2015, Yopa has become one of the largest estate agencies in the UK. Yopa’s customers get the same end-to-end service they would from a high street agency, with the added benefit of simple, useful technology that helps them see every step of their sale as it happens. Yopa’s award-winning service includes dedicated local estate agents and help with everything from mortgages to conveyancing, all from as little as £999.

For more information, please visit yopa.co.uk or email press@yopa.co.uk.