Right there in front of the screen, you might be a newbie or even an experienced investor who has some exciting ideas about investing in property yet there are clouds of doubt and strategy hovering over you. Isn’t it? Well, investing in property is a pretty much big deal. It doesn’t happen by waking up one fine morning and you decide to put your money in the building or hotel building across the street. It actually requires a plan, strategy and of course a healthy budget to rely on. Property investments might be a bit tacky to handle because there are several aspects to check but once you invest you can feel the triumph everywhere around you.
Property investment has so far been the most triumphant type of investment done in the previous two decades. When compared to stock and shares investment, property investment is not only safe but also bears much
sweeter fruit. How? Let’s find it out!
1. Better returns: Starting with what I mentioned earlier, better returns. Quick, easy and favorable returns are mostly offered by real estate investments. You can’t expect the same efficiency from the stock market or someone’ business shares. Unlike any other investment, owning or investing in a property for a long time brings equity. On the way, the value of your property also increases. Thus, enjoying capital appreciating with better returns is seen as a benefit!
2. Increase in value over time: All the experienced investors would agree with me over the fact that the longer one holds on to property the more its value increases. Observation of over last two to three decades shows that even in the period of crisis investors never sold their property. The reason that stands behind this is that values always come back to their normal criteria. In fact, they get better.
3. Tax benefits: In one way or another, everyone gives tax on nearly everything they use. Here property investors have some good luck. They get to enjoy tax deductions due to property taxes, mortgage, insurance, and operating expenses. Owning a property helps you save some money in this way. Monthly, tax sums might not appear much but by the end of year recount the saved tax and see what wonders a property has.
4. The portfolio needs diversity: Every wise financial planner advises his client to save from any risk and invest in real estate. This brings diversity in a minor form but saves you in a major form. Investing your wealth in different places makes you vulnerable to risk. However, investing entirely in property is a healthy option.
5. Retirement plan: Coming out from the money talks, let’s talk about your physical and mental comfort. After your youth bids you goodbye all you will worry and desire for is a cozy house to give you the comfort and protection you had always wanted. Owning your own home saves you from finding rental homes.