Nearly a third of Americans consider real estate the best long-term investment, beating out stocks, gold, savings accounts/CDs or bonds for the second consecutive year, according to a recent GALLUP poll.
The 31 percent of Americans choosing real estate as the best investment was in line with those who chose it last year, as was the 25 percent of those choosing stocks/mutual funds.
This is the third year in which Americans have leaned more toward real estate and stocks for investing while shying away from gold. The public's preference for gold fell five percentage points in the past year, bringing its overall decline since 2011 to 15 points, the largest shift seen among the five investments tracked, GALLUP reports.
Real estate was either the top choice or tied for the top choice as the best investment among all major gender, age and income groups surveyed, according to GALLUP.
Gold gained appeal – albeit temporary – among investors when real estate took a pounding in home values and consumer confidence after the subprime mortgage crisis that started in 2007, which spurred the financial crisis of 2008 and deepened the 2007-2009 recession, GALLUP reports. A return of Americans' confidence in real estate and stocks as solid long-term investments became evident in 2014, reflecting real world improvements in these areas.
GALLUP conducted both cell and landline telephone interviews April 9-12 with a random sample of 1,015 adults, aged 18 and older, living in all 50 U.S. states and the District of Columbia for its investment poll.
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