In times of economic uncertainty, it's nerve racking just thinking about investing your hard-earned cash.
According to the U.S. Census and national property sales statistics between 1940 and early 2010, the median home value has more than quadrupled over the past 70 years.
Leverage is a significant advantage of Real estate investments. It allows you to earn appreciation off of the bank's mortgage to you. With a 20 percent down payment, it will be five times the home appreciation rate. If you've taken out an FHA loan with only 3 percent down, it will be like winning the lottery. A 3 percent annual appreciation rate will translate into a 100 percent rate of return on your down payment.
If you own property--either your personal residence or Real estate investment--you will benefit from tax advantages. As a home owner, you are entitled to deduct your mortgage interest and are exempt from taxes on the first $250,000 if you are single, or $500,000 if you are married, of profit from the sale of your home so long as you have lived there at least two of the last five years prior to the sale.
The great thing about rental income is that you earn it 24 hours a day, seven days a week, 365 days a year, whether you are awake or asleep, working or on vacation. If you have a full-time job, the rent supplements your income. When you have enough of it coming in, you can quit your day job.
With your stock investments you have absolutely no control, other than get in and get out. You can’t influence how well your investment performs. You can’t influence changes in the company you are investing in or the demand for their product or service. You can’t ask your broker to talk to the CEO to change his or her strategy so that revenues might increase, which will influence investors to buy more stock and hopefully the price will increase or dividends will go up. In mutual funds there are even more people involved that you can’t influence.
In Real Estate Investing there are lots of ways to improve the value of your investment so that it appreciates more and so that it rents faster and for a higher rent. You are in control.
Real Estate Investing is still the best investment, How to invest in real estate then why are people still investing in the stock market, Best real estate investment or other investments.
According to the U.S. Census and national property sales statistics between 1940 and early 2010, the median home value has more than quadrupled over the past 70 years.
Leverage is a significant advantage of Real estate investments. It allows you to earn appreciation off of the bank's mortgage to you. With a 20 percent down payment, it will be five times the home appreciation rate. If you've taken out an FHA loan with only 3 percent down, it will be like winning the lottery. A 3 percent annual appreciation rate will translate into a 100 percent rate of return on your down payment.
If you own property--either your personal residence or Real estate investment--you will benefit from tax advantages. As a home owner, you are entitled to deduct your mortgage interest and are exempt from taxes on the first $250,000 if you are single, or $500,000 if you are married, of profit from the sale of your home so long as you have lived there at least two of the last five years prior to the sale.
The great thing about rental income is that you earn it 24 hours a day, seven days a week, 365 days a year, whether you are awake or asleep, working or on vacation. If you have a full-time job, the rent supplements your income. When you have enough of it coming in, you can quit your day job.
With your stock investments you have absolutely no control, other than get in and get out. You can’t influence how well your investment performs. You can’t influence changes in the company you are investing in or the demand for their product or service. You can’t ask your broker to talk to the CEO to change his or her strategy so that revenues might increase, which will influence investors to buy more stock and hopefully the price will increase or dividends will go up. In mutual funds there are even more people involved that you can’t influence.
In Real Estate Investing there are lots of ways to improve the value of your investment so that it appreciates more and so that it rents faster and for a higher rent. You are in control.
Real Estate Investing is still the best investment, How to invest in real estate then why are people still investing in the stock market, Best real estate investment or other investments.
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