
Investing as we all know is an action taken by individuals
or group of individuals to put resource together into a profitable venture for
a common goal of receiving profits. Real estate investing is an act of buying a
landed property to keep or sell all at a profit. If the word profit is absent,
then it is no longer an investment.
Since I found my passion in real estate, I witnessed a
rebirth, a new me. I felt a good reason to go for it for life. In this article,
I will share with you 5 reasons why real estate is the best investment. For better
understanding and clarity of my view, I will break it down into bullet points
It
brings about cashflow
Definitely, all investments brings cashflow. Some might be
stable others might not. But a very good reason why real estate is the best
investment is because it has the probability to remain stable in every
situation of the economy. Even in hard times. Real estate provides one of the
most essential necessities of life. So whatever the economic threat is, people must
have a roof over their heads. That is why the cash will keep pouring in.
Borrowing
Advantage
Real estate is a tangible asset. It is not like a ghost as I
use to call paper asset such as stocks. It is something that you can feel; move
in, out and around. In addition, it is by itself immovable. No one can make it
disappear from its physical location. This is one of the major reasons that
financial institutions will lend you money to buy it.
The borrowing advantage is another reason why
real estate is the best investment. The banks can lend you money then allow you
to pay back over a period of time. If your real estate investment is a rental
property, then the leverage is more beneficial, because the tenants pay for
your debt indirectly. Despite that, you still have to have some cashflow out of
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