When asked about the best investment for 10-plus years, 31% picked real estate with millennials the top pro-real estate generation. Only 20% preferred stocks.
NEW YORK – When it comes to how Americans prefer to invest long-term, real estate is still the most favored investment option – 31% said it’s their preferred way to invest money they wouldn’t need for more than 10 years, according to a poll by Bankrate.com.
While real estate has been among the top choices in each of the seven years of Bankrate polling, 31% is the highest percentage to date. The stock market was a distant second, at 20%, while cash investments such as savings accounts or CDs was a close third at 19%. Of the rest, 11% pointed to gold or other precious metals, 7% to bonds, and 4% to Bitcoin or other cryptocurrency.
Contrary to the stereotype about millennials and their propensity to not buy homes, adults age 23-38 prefer real estate more than any other generation (36%), and the age group with the highest preference for cash has shifted to baby boomers.
Overall, however, real estate was the top choice of all generations, including Gen X (ages 39-54 at 31%), baby boomers (ages 55-73 at 30%) and the Silent Generation (ages 74+ at 23%).
“Millennials are higher on real estate than any other age group, have cooled a bit on cash, and still aren’t keen on the stock market when investing for more than 10 years,” says Greg McBride, CFA, chief financial analyst for Bankrate.com.