property can pay for itself by being rented, harvested on etc. Land can also hold resources you can tap into for returns.

both have low yield to be frank but property can be utilized to get higher returns.

Property can pay for itself by being rented - if you get enough properties, you'll have to pay someone to manage the properties or you will have a full time job doing that. On top of that, you have to pay taxes yearly, where as a index fund if you dont buy/sell, you only have to pay taxes on your dividends, rest will be taxed upon selling. you also have to pay for upkeep occasionally. also, if there is an over abundance of rentals, you may have open rentals that don't earn you anything.

either way, i wouldnt advise anyone to put all their eggs in one basket.

I agree with this but you underestimate the returns of renting and over estimate maintenance cost even with a property manager.

But heres an example for you of a smart return. currently in Colorado you can no longer tap lands for wells however if you own a well on property its w/e.
he bought land with a well on it and now with this huge legalization of pot in WA and soon to be Canada wide legal that land has jumped astronomically in value due to the free water.
You can't imagine the saving that land will offer to growers over 5-10 year span also when renting property your insured and you can have them maintain it or else etc.

Yea, you may have many smart returns but you could also have shitty returns as well. Technologies change, environment changes, laws change, etc. It is hard to predict - i mean even in your example, once legalization is spread to more areas, why would the prices of land in CO* stay high? you can buy land elsewhere where it is cheaper

This post was edited by cialda on Jun 23 2016 09:26pm

Its not legal to grow on a massive scale just anywhere nor is it cheap to start up.
Having land for others that want to get in to basically anything is good cause everyone needs land.

Lets be honest you can lose money with index stocks also if your dumb about it just like anything.

I've just known more people to get more money with property vs stocks and much faster.
guess I'm biased cause of it but I don't see how index stocks can yield more unless your stupid and were talking long term.

[Lawrence] Two chicks at the same time. [/Lawrence]

Well its just the compound return for index funds w/ minimal taxes eating away at your returns and they are for long term ofc. and yes you can lose money in index funds. I guess im more biased the other way with stocks/funds.