Assuming your company doesn't have 401(k) match, is it really a good idea to put money in 401(k)? Everyone says it's a good idea but I don't think so.
Why not save your money and buy a house/apartment instead (can rent it out for extra money)?
Some people even suggest to max out your 401(k), which is insane to me. I feel like ANY investment is better than dumping it in 401(k) in the long run (eg: dump into S&P 500)
It's almost always still a good idea as the tax benefits are substantial. 401k contributions are tax deferred as is the growth. In general for every dollar contributed, your tax liability for the contribution is decreased by your marginal tax rate. For example, if you contribute(d) $10000 for 2017 and are firmly in the 25% bracket, you'll save $2500 off your 2017 tax bill. You'll still have to pay taxes when you make withdrawals (hopefully in retirement), but usually you'll pay less tax at this time because withdrawals happen at your effective (average) tax rate.
Of course, if you want to buy a house or apartment, you should save for this as well, but probably in an account separate from your 401k.
If you buy a house to rent out, you are buying it with post-tax dollars and you are paying tax on the rental income it generates. Being a landlord can be more work and less profitable than some people anticipate. That said, for the next 8 years under the new tax law landlords will get to deduct 20% of their rental income making the overall tax picture pretty agreeable.
A 401k is tax-advantaged as it is funded with pre-tax dollars, you'll pay income tax on distributions but you're saving at your marginal rate on the front-end and paying your future effective rate on the back-end. If there is no match, people typically prioritize IRA contributions over 401k, but the limit on IRA contributions is so low that you'd also want to put some toward the 401k. Your 401k/IRA are relatively hands off investing, and there are penalties for withdrawing early. With an employer match it's a very easy decision, without a match it's still a good idea.
Personally, I like both, I am a landlord and I contribute to my 401k. I only contributed up to my employer's match amount for a few years while I focused on paying off debts and buying property, now I've shifted to contributing more to the 401k. Investment strategy should change over time. I think of it as a way to diversify.
Just be comfortable with the risks and potential time/money commitments associated with real estate investing. The risks associated with either are hard to peg, so picking one over the other is not easy. If you like the idea of being hands-on and actively managing a rental, it might be the better option. If, however, you think you'd ultimately just pay others to do everything associated with the rental then it might be much less lucrative than dumping money in your tax-advantaged retirement accounts (even if you do it all yourself it could be much less lucrative than your retirement accounts).
