Give me 30 minutes of your time and I’ll get you started on your Wealth Building Path!
1. A SAFER OPTION than Stock
Real Estate is comparatively a SAFER OPTION than stock market-based investments, especially in today’s market. History shows that if you buy and hold, your property is almost guaranteed to appreciate better than stocks, bonds or mutual funds. Of course, risk level varies based on factors such as, the population growth and employment rates of the surrounding area, etc.
2. Inflation Hedging
Real estate loses little value in periods of rising prices. It holds its value and purchasing power during inflation, which is paramount in today’s volatile economy. Real assets hedge better than paper assets; this makes real estate a better inflation hedge than stocks because the former has intrinsic value whereas the latter does not. In the past, the rate of appreciation has been 2%-4% higher than the rate of inflation.
Leveraging is a great way to stretch your investment dollars. When you invest in real estate, you can borrow against your property. This means that you only have to pay the down payment (20%) for your investment, and you can mortgage the rest. Lenders will use the property itself as security and allow for a 9:1 or 8:1 borrowings to capital ratio.
On top of this, you will be receiving rental payments from your tenants, which can be used to PAY OFF YOUR MORTGAGE. The lower you mortgage amount is the more equity is in your property!
5. Regular Income
When investing in rental real estate, you may receive regular positive cash flow or large equity growth and tax write offs depending on personal choices and strategies (that is providing that you make good investment choices). This will provide you with a sense of assurance and peace of mind that you will be receiving a set amount of income every month without having to worry about it. Who doesn’t want money flowing in every month?
GIVE ME 30 MINUTES OF YOUR TIME AND I’LL GET YOU STARTED ON THIS PATH OF WEALTH BUILDING USING YOUR OWN PROPERTIES BUILT IN EQUITY!
WARNING: REMEMBER, YOUR FRIENDS OR FAMILY MAY BE JEALOUS WHEN YOU START ACQUIRING PROPERTIES AND TAKING CONTROL OF YOUR FINANCIAL FUTURE.