4 Reasons Many Consider Real Estate A Good Investment

There are many alternatives, when it comes to making our decisions, on how and where to invest our funds/money! Options include: the stock market; bond market; goods; United States Treasury Vehicles; and real estate. Since, historically, real estate is considered by many to be one of the safest long-term strategies, and owning your own home is often considered an important component of the so-called American Dream, this article attempts to discuss 4 reasons many they feel this way, and they use their funds to buy single family homes as well as investment properties. With that in mind, this article will briefly try to consider, examine, review and discuss how and why this is important.

one. Historically maintains and/or beats inflation, and rate of return, many other options, provide: In addition to many other reasons, historically, the appreciation of the value of real estate has been maintained. with and/or exceeded the rate of inflation. It has also been, in the long run, one of the safest vehicles available! Many analyzes also show that the general rate, for real estate, is better than most other options!

two. Various purposes, including living expenses and asset appreciation/value: When you buy your own home, you serve several purposes, including your living expenses and pride of ownership. It’s especially satisfying, however, that by doing so, long-term home values ​​generally increase by at least the rate of inflation. Many also buy real estate, for investment purposes, such as the purchase of multi-family properties, etc. By doing so, they also receive tax benefits, including the ability to depreciate the property, on a schedule, for tax purposes. Also, remember, if you don’t own your home, you’re still paying rent, which has no rate of return!

3. Above-average returns, over time: Statistically, on a historical basis, real estate values ​​have risen, over time, not only at a faster rate than inflation, but also better returns than many other investment vehicles.

Four. Paying yourself, instead of your landlord: Your personal home can be owned by you or your landlord! When you rent your residence, it provides you with accommodation, but you do not receive any other financial benefits! Who would you rather pay, monthly, yourself or the landlord?

It is advisable to fully consider your personal situation, comfort zone, priorities and perceptions before making any investment. After this process, remember to include homes and real estate in your overall analysis!