EU vs RL property (and items) investment

[aridash]

Originally Posted by timmmers

No surveys, estate agents or stamp duty etc in EU, nor floods, insurance, maintenance etc come to think of it...that's a bonus too

one tripped cable, one court order, one embezlement and it all goes offline. gone. virtual property can never be compared to real property, it is far too fragile and transient, at best it could be compared art/collectable artifacts. treat EU investments as you would a shares or spread betting, money you expect to see a return on but will survive if you lose it all.

[Smoerble]

virtual property can never be compared to real property, it is far too fragile and transient, at best it could be compared art/collectable artifacts.

I would just say to that: it is too fragile now, I wouldn't use the term "never". In soe years (5, 10, maybe 20) it will be as stable or fragile as RL investments. But definately not now.

treat EU investments as you would a shares or spread betting, money you expect to see a return on but will survive if you lose it all.

Exactly. The best thing is to compare investments in EU with investments in real life shares of companies. You should do this only with gambling money. If you have money you need at a certain point (to pay your rent, to pay your car, to pay your house etc), you NEVER should buy RL shares. And of course you should never buy something in EU for that.

I personally invested beginning of 2007 some k USD into EU, as I see it more stable than the RL share market... and until now, the idea was good. But no-one knows if this is true next year... and from time to time, EU market really makes me nervous, lol

[aridash]

Originally Posted by Smoerble

... I wouldn't use the term "never".

i would say it is valid to use "never" in this context regarding anything virtual. real land, homes and property will always be needed and utilised in an economic manner as long as we exist. virtual worlds can disappear, real ones can not.

[Bones]

I would say the entire balance of investments in EntropiaUniverse , balances on the finantial expertise of those at MA.

Lets hope they have expertise.


Bones

[Fin]

The thing with RL land is that it isn't being made any more. A significant precentage of the value of RL buildings often lies in the value of the land they are built on. They also take a lot of money and effort to construct. All these features are advantages from an investment point of view as they tend to create scarcity value. Virtual land and properties in EU do not have these characteristics.

[Tussi]

Originally Posted by timmmers

<snip>
MA is a REAL company and secure at least

a company which states (and - mostly - lives by) the rule that you get nothing in case you encounter losses caused by a malefunction.

that would definitely draw some people into EU I think.

I know quite some (with fat wallets) which went away after reading the EULA.

We may whinge about bugs and faults, but no-one at MA is ever going to steal your money deposited here

What are you on? Glue?

Go and read some of the 'whiner' posts about MA stating that they don't compensate for losses on bugs (lost claims, unable to loot).

And a permanent lock of an account (for whatever reason) makes all the content fall to MA too, dosn't it?

Please don't get me wrong, i don't accuse employees of MA for stealing - i accuse MA for not caring about the average participant (among others through the we don't compensate bug losses mantra).

<snip>
A rental system for items or property wouldn't hurt either, where we could buy an item, then set a daily or weekly fee for it and be SURE of it returning and being logged in the EU system (similarly to auction) and not rely on trust and a trade window anymore....that would mean people could buy a CND apt and rent it out to miners for a week to store finds until they decided to go back to Calypso...a kind of private storage on a weekly basis.

Finally a good idea (it's quite old however).

If you could rent items, that would allow more people access to using uber items and make a better reason for actually buying and owning them wouldn't it? IRL you need to be pretty wealthy to get opportunities to invest and make something worthwhile, here in EU we can be PED wealthy for a comparatively small amount in comparison which could be a good selling point along with the history and security of what has already gone down here.

I don't know how you define 'small amount' but for many small isn't starting at $25k (because only the uber-inflated rare stuff is good for rental - stuff with normal markup can easily be bought).

Which would you be happier owning now? A house RL that you can't sell and of which the price is dropping while the mortgage is crippling you (and possible re-possession)...or a virtual house all paid for and earning regular income while slowly increasing in value?

Or a RL house in which i can live after the next better MMORPG came out and crashed prices in EU?

No surveys, estate agents or stamp duty etc in EU, nor floods, insurance, maintenance etc come to think of it...that's a bonus too

Yea, no insurance that your estate will be there tomorrow.

Originally Posted by aridash

one tripped cable, one court order, one embezlement and it all goes offline. gone.

RL stuff can go poof too - you just need a good war or natural desaster (Katrina, anyone?)...

virtual property can never be compared to real property, it is far too fragile and transient, at best it could be compared art/collectable artifacts. treat EU investments as you would a shares or spread betting, money you expect to see a return on but will survive if you lose it all.

A good hint everyone should follow.

Tussi

[Jamhot]

Originally Posted by Mega

I'd prefer a RL house that keeps the rain and snow off!

A virtual house is after all just a pretty storage box....

Not at all, depends on how you utilise your property in virtual life. I have 3 apartments, one on CND one a Club/ChillLounge/Shop, the other an ingame Cinema.

Other people in EU run salons, galleries, shops all from their apartments.

So they can be much much more than a pretty storage box.

Jamhot

[Dorsai]

My biggest Rl investment is the property I live in. At a guess I could sell it for 400% what it cost when I bought it. Take into account interest on the loan needed to buy it, an I might break even.

In EU, my biggest investment required no loan to buy it. It would probably sell for what I paid for it.

So My house cost X, and is now worth 4X, but actually cost me 4X due to interest on the loan.
My booth cost Y, is worth Y, and ended up costing me Y.

[Mega]

Originally Posted by Jamhot

Not at all, depends on how you utilise your property in virtual life. I have 3 apartments, one on CND one a Club/ChillLounge/Shop, the other an ingame Cinema.

Other people in EU run salons, galleries, shops all from their apartments.

So they can be much much more than a pretty storage box.

Jamhot

Good point!

Ok My apartment is a not very pretty storage box full of TT junk

[Karmic]

Originally Posted by Level

more than 99% people in RL do not have FREE CASH TO DEPOSIT AND HAVING FUN...because they are scared or like my parents, where credits overkill good sallary and so we live like poor family...its a miracle that I have a PC...

Funny, almost every hobby I see 99% of the people in RL that I know have costs them money, so there are some people out there with free cash to use to have fun...