People always say that the safest investments is in bricks and mortar and I can testify to the fact that those people who say this are absolutely on the money. I have been investing for the last ten years and the first five of those were spent investing in oil futures as well as some stocks. After a relatively successful start to my investments, I bumped into Radha Singh Hazlet-based real estate guru and college buddy of mine who urged me to get involved in real estate investment. I took his advice and after just one year of the real estate game, I ditched my oil and share investments and went full time on properties which has yielded a great deal of success. If you are looking to invest and are unsure where to start, here is why I think that real estate is the best option for you.
One thing that I first noticed about real estate investment was that the market is far ore stable than it is in almost every other form of investment. Even when the market in a particular are does take a downturn, it is never long before prices rise again unlike the stock exchange for example where an asset could fall and never return. This stability is perfect for small time investors who do not have money to burn as they can remain patient on their invest until it is valuable again.
With real estate, you can take steps to add value to the property which makes it unlike stocks, shares or indeed any other form of investment where you do not have a visible asset. This lends itself well to those who like to flip property i.e. buy property cheap, upgrade it and then sell it quickly for a strong return.
Monthly Cash Flow
Not all of my properties are in positive equity but that is not hugely important to me at the moment as I still see a steady amount of cash flowing my way from my tenants. This means that even if the market is not in a strong position, you do not have to lose any money, so long as you have some rent coming your way.
The demand of housing has outweighed supply for many, many years and things do not look like they are going to change any time soon. This means that if you make sensible choices with the type of property that you buy, there will always be someone out there looking to rent and someone out there looking to buy. Governments have ignored the housing crisis for a long time and there is so much demand out there that if you have the funds to purchase some property, you can be sure that the demand will be there for you to profit from.
Let me know what you think in the comments section below and if you have any doubts, feel free to ask.