A careful evaluation has been carried out to reveal advantages and disadvantages of linear and nonlinear modelling in dynamic analysis. 4- and 7- story building models representing characteristics of about 500 existing buildings models in Turkey was used in analyses. In the study, displacement demand parameters such as roof drift ratio and interstory drift ratio obtained from linear and nonlinear analyses were compared using a total of 24 ground motion records including forward directivity effects (Set 2) as well as records (Set 1) recorded in type B and C soils. Although the seismic demands for Set 2 are obtained extremely high in the nonlinear models, the demand differences between Set 1 and Set 2 are not excessive for the linear models. In the region where the T/Tp ratio is close to one, the linear analysis predicts unrealistically high demands compared to the nonlinear analysis. Linear analysis results mostly show an increase or decrease depending on dynamic amplification effects. The effects of ground motion intensity and damage mechanism cannot be observed in linear analysis method. For all these reasons, it is recommended not to prefer linear modeling method when using time-history analysis.