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19 Oct 2019

7 Reasons To Include Real Estate In Your Investment Portfolio Featured

Whether you've been investing for a while or you're considering investment options for the first time, here are seven reasosn why real estate should make your list: 

  1. You'll get fewer surprises. Real estate growth is more predictable than stocks, bonds or mutual funds. This results in more reliable cash flow on your invested funds.
  2.  You're investment will appreciate in value. The value in real estate will always increase. Even if it drops at some point, an increase will always cycle back. You just need to maintain in the meantime. Appreciation also helps your invested funds to keep up with inflation. As inflation increases, so does the value of property, keeping you at par as opposed to falling behind, as can sometimes be the case with other investments options.
  3.  You'll get higher returns. Real estate investments not only outpace returns of the classic investment, but they also offer positive leverage. Positive leverage occurs when placing debt on a property improves the overall rate of return. Whenever the return component in the property is higher then the interest rate on the debt, positive leverage will occur.
  4. You'll build your equity. Real estate is one of the most stable and reliable forms of money growth. This allows one to build equity for future by generating positive passive income and cash flow for retirement.
  5. You'll diversify your portfolio. Adding an additional leg to your investment portfolio allows you to diversify by owning (directly or indirectly) your own physical asset.
  6. You'll help to boost the economy. When you invest in real estate, you strengthen the economy in which you are investing. By employing contractors, purchasing building materials, and stimulating the local community's economy, you are indirectly strengthening your own investment because if your local economy grows, so do the investments grounded in it.
  7. You'll have a source of renewable income. Not many investments can assist you in renewing your income aside from the growth of that stock. With real estate, there are refinancing options which offer payout options or rental income which offers consistent income flow.

Kandice Henry is a Real Estate agent with iPro Realty LTD. She has been in the Real Estate field for over 10 years.

Her hands-on knowledge began when she purchased, flipped, and leased her own properties. Five years ago she began her career as an agent and has had much success helping clients buy and sell in both the residential and commercial sectors. She is a hard working agent who truly cares about finding the perfect fit for her clients. Kandice's resourcefulness lends to her full, experienced team behind her that is ready to help you close your next lease or purchase.

This article is meant for informational purposes only and is not intended to be construed as financial, tax, legal, or insurance advice.

 

 

Read 126 times Last modified on Saturday, 19 October 2019 13:58
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