5 Reasons Why Real Estate are Great Investment

5 Reasons Why Real Estate are Great Investment 

Real estate offers better returns than the low volatility stock market.

Historically, the risk of loss of property is minimized by the time the property is held. As the market improves, so does the value of homes, creating wealth as a result. Stock market risk never changes and there are many factors outside of your control that can adversely affect your investment. Because real estate is a tangible asset, you have more control over your investment. You can use it to benefit from multiple sources of income while enjoying capital appreciation.

Real estate is expensive.

Your land will always have value and your home will always have value. Other investments may have little or no tangible assets, such as: B. A stock that could go to zero or a new car that loses value over time. Homeowners insurance protects your investment in real estate, so get the best insurance available so that your assets are protected if the worst happens.

Real estate values ​​always go up over time.

History continues to prove that the longer you hold onto a property, the more money you make.The real estate market has always recovered from past bubbles that caused home prices to fall. For those who have continued to invest during these uncertain times, prices are back to normal and price appreciation is back in the right direction. Real estate investors are now enjoying windfall returns in the best performing markets. In fact, over the past year, we've been highly rated in every state across the country, and some of my clients in the Los Angeles market have made millions of dollars in profits in less than a year.

Investing in real estate can also diversify your portfolio.

If you've ever talked to a financial planner about investing, you're keenly aware of the importance of diversification. Diversifying your portfolio spreads your risk. Real estate always acts as a safe physical asset, reducing portfolio risk. Many people have made a fortune by investing in real estate alone.

Last but not least, there are many tax benefits to investing in real estate.

Tax deductions are available for mortgage interest, investment property cash flow, business expenses and expenses, property taxes, insurance and depreciation (even if the property appreciates), and other benefits. increase. The end of the year is a very busy time for real estate as we want to take advantage of the many tax benefits before the end of the year!

Investing in real estate is not only a safe haven, it is an investment that will provide years of fun, happiness and precious memories that will last a lifetime.