Biggest Real Estate Wealth Advantages

In Investment Strategy by Tim DieselLeave a Comment

Real estate wealth-building. It’s one of the most lucrative ways to not only earn a living, but build a legacy. There are many options to build wealth. Not surprisingly, the “old fashion” ways are the most reliable (precisely because they stand the test of time). For instance, investing in a good-growth mutual fund. After twenty or thirty years, the net amount is almost all gain. (Very little is actual contributions because of rollovers and compound interest.) Then there’s real estate. It’s much the same. You make an initial investment and the property appreciates.

Why Choose Real Estate to Build Wealth?

With different options available, some people will inevitably ask why real estate? Well, it’s really about diversification. Avoiding the old “eggs in one basket” disaster. Real estate investing, combined with mutual funds and others, will accomplish your ultimate goal.

Real estate, tech and entrepreneurial investors each represent trends gaining traction. In particular, real estate investors who know how to leverage technology understand what it takes to get ahead. However, while real estate investing might offer rapid wealth building and a great income, and entrepreneurship more freedom, there are some important considerations to recognize before leaping. —Fortune

Real estate is a great part of the mix. It boasts a long track record. It’s also a tangible asset. And, real estate is always in demand. These qualities and more make real estate investing worthwhile. It’s just a smart strategy to build wealth over the long-term.

Top Real Estate Wealth-Building Advantages

The great thing about real estate investing is that it’s a lot more easy to understand. Unlike the stock market, which mystifies most people, we all know how real estate works. That alone makes it simpler to get into. So, here are the biggest real estate wealth-building advantages:

  • Real estate is leverage for future purchases. When you buy an apartment building, you are not only making a single purchase, you’re setting up a chain of future purchases. As the property gains appreciation and the debt is amortized, it can then be used as leverage for another buy.
  • Real estate investing provides tax benefits. Another great aspect of real estate as an investment is that it provides a number of handy write-offs. Insurance, maintenance, equipment, the list goes on and on. With an experienced tax professional, you’ll enjoy several tax incentives, making the investment more lucrative.
  • Real estate is perpetually in-demand. As previously mentioned above, real estate is always in demand. It’s like heath care, oil changes, groceries, and more. People always need a place to live. When you find the right property, you’ll enjoy a steady stream of income for as long as you own it.

If you’d like to learn more about commercial real estate investment benefits and more about the process, please contact me.


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