Location, time-horizon, risk appetite etc. would determine which one is better. For example an apartment in far-flung area, that is not well-developed, well-connected and far from employment may be a liability for a while. You pay maintenance, the building/structure depreciates due to aging, you don't find people to take it up for rent, and semi-furnished apartment can get burgled etc. If you purchased this apartment by taking a loan, then your interest outgoing may outstrip the property value appreciation. An empty site/plot in such area doesn't incur such problems. OTOH, an apartment in an already developed, rapidly upcoming area, where infrastructure is reasonably okay (if not best), metro plans announced, near major business establishments/sources of employment, are likely to see rapid appreciation, and you can put it up for rent on completion. In these areas, the cost of land (site/plot) may be already very high, and perhaps out of reach for many people.Location, time-horizon, risk appetite etc. would determine which one is better. For example an apartment in far-flung area, that is not well-developed, well-connected and far from employment may be a liability for a while. You pay maintenance, the building/structure depreciates due to aging, you don't find people to take it up for rent, and semi-furnished apartment can get burgled etc. If you purchased this apartment by taking a loan, then your interest outgoing may outstrip the property value appreciation. An empty site/plot in such area doesn't incur such problems. OTOH, an apartment in an already developed, rapidly upcoming area, where infrastructure is reasonably okay (if not best), metro plans announced, near major business establishments/sources of employment, are likely to see rapid appreciation, and you can put it up for rent on completion. In these areas, the cost of land (site/plot) may be already very high, and perhaps out of reach for many people.