It is a LONG term investment in rental business

In the next 5-10 years, no sensible people are looking for serious price appreciation in real estate. The goal is to get properties cheap now, hunker down, focus on cash flow, and be in a good position to capture future gains. Of course, if you think, like a few people here, that US is going down to dismal, then all bets are off.

The good thing about real estate is that, first, it generates considerable income; second, it is very tax effective. For example, I am getting $2K positive cash flow each month per property on average, yet when the tax day comes, I am paying less than 5% on the income with all the depreciation and mileage deduction etc...
It is true that I am also a bull on gold, but I don't think gold is such a long-term investment. I have to keep a watchful eye on gold in case it tops. When it tops, gold will drop faster than Niagra fall. Gold doesn't generate income, and it has no tax benefit either.