2025 has its share of red flags for investors. Volatile equity markets, high interest rates, uncertain geopolitical conditions… It’s made a lot of people wary about where to park their capital.
But even with all of these shifts, one investment option continues to offer stable returns. Real estate investing remains a reliable choice for those seeking tangible value and long-term wealth growth.
In this article, we cover the reasons real estate is still arguably the most dependable wealth-making option for investors this year. It may help you decide if this is where your next investment lies.
Real Assets with Real Value
One of the strongest arguments real estate has always had going for it is that it offers real assets with real value. Even amid shifting global markets, its physical nature gives it staying power unlike other investment tools.
Real estate isn’t like paper-based investments. It offers intrinsic value as well as income generation, and along with that, strong potential for capital appreciation.
Protection from Inflation
One of the biggest issues facing certain investment tools is the effect of inflation on their values. Real estate doesn’t suffer from this issue because property values and rental rates typically rise alongside inflation, helping preserve your purchasing power over time.
And if you do happen to face inflation, foreign property investment is another option. Many are now investing in property overseas as a hedge with growth potential.
Global Confidence in Property
A May 2025 Gallup poll showed that people still tend to have the most faith in assets like real estate for long-term value. It often shows up as a preferred asset in surveys ahead of stocks.
This may be partly because of the tangibility of the asset. The sense of owning something boosts investor confidence and can feed into the asset’s strength. Market outlooks tend to favour real assets like this over more volatile options like digital currencies.
Passive Income with Equity Growth
One of the best things about investing in real estate is that you can get rental income from it as a source of consistent cash flow.
Meanwhile, you also build equity. You can then leverage this equity for future investments or to bolster retirement security.
Tax and Leverage Benefits
Depending on where the property is located, you may also be able to avail of mortgage interest deductions. Some jurisdictions also offer depreciation and lower capital gains tax on real estate.
Leverage can amplify your returns, allowing a modest capital outlay to control a high-value asset. This translates to compound growth.
Fractional Entry Options
This is another key advantage of real estate investing. There are now fractional ownership platforms that allow investors to enter the property market without purchasing an entire unit, lowering the cost of entry.
One leading example is RealVantage. This co-investment platform offers access to institutional-grade real estate from just S$10,000. Investors can select from curated global property deals, then choose from opportunities vetted by RealVantage’s investment team.
This can be a strong fit for investors with a moderate-to-high risk appetite, offering access even to global property markets while diversifying risk across assets.
Generational Wealth and Legacy Planning
Real estate is also a reliable option for investors considering generational wealth transfer. It’s tangible, offers long-term appreciation, and has income potential. At the same time, it’s easier to hold and bequeath compared to more volatile assets.
This gives it another advantage for investors who want to think of preserving wealth across generations. Compared to complex financial portfolios, property can be simpler to value and transfer as part of legacy planning.
