7 Reasons You May Want To Consider Joining the World of Real Estate Investments

Anyone looking to buy or sell real estate can see that times are more difficult than they have been in the past when it comes to the flexibility of purchasing property, single housing units, or commercial buildings. Furthermore, as the Federal Reserve drops and raises interest rates on what appears to be a mystical and confusing whim, many people wonder if it is a good time to invest in real estate. The simple answer is not so simple, and it can be confusing and risky to try and jump into the market if you are not prepared for what could be a long and bumpy financial ride. Here are seven reasons you may want to consider joining the world of real estate investments.

1. Rental Properties

One of the best ways to begin investing in real estate is with rental properties because the buildings have a system already in place for making you money. Tenants can make the payments for you while you sit back and watch the value of the building grow over time.

2. Appreciation Values

If you own a large piece of property, you may be wondering if it is worth selling or keeping for a long-term investment. While no one can tell you which is better for your portfolio, property does appreciate over time, but it can be very slow. Homes on the property may come and go, but property is forever.

3. Shared Investments

Investing in real estate does not have to be a singular activity. Instead, you can find sources that allow you to join with a group of other people to invest in commercial or multi-unit homes. This type of shared investment opportunity limits your choice of properties, but it also limits your risk should the market drop unexpectedly.

4. Numerous Strategies

When you choose to invest in real estate, you are not stuck with one type of option. Instead, you can choose from commercial buildings, empty property, group funding, apartment buildings, business complexes, and much more. Aubrey Ferrao found himself in love with an area of Florida when visiting and with a few investments, he began a huge real estate empire. All you have to do is decide which investment is right for you.

5. Flexible Choices

Owning property or buildings allows you the opportunity of deciding how to handle the investment. You can rent the unit as is, subdivide the property, tear the existing structures down and rebuild, or whatever else you choose to do. If your risk is low, the return will often be high. If your risk is high, you may have a long wait before you see any ROI.

6. Double Money

As with many choices in life, what you make of your property is what you will get back. When Aubrey Ferrao invested in Florida property many years ago, he had no idea it would make him a multi-millionaire. Yet with a few well-planned home construction projects, Aubrey Ferrao Fiddler’s Creek┬ábecame a popular housing area that is selling very quickly. Imagine what would have happened if he had chosen to sit on the land for a few years.

7. Investment Taxes

You may have noticed that your personal taxes often rise every year, but when you own real estate rentals or commercial buildings, your taxes may stay the same or even go down. There are no self-employment taxes for landlords, and the government offers rewards in the form of lower tax rates to assure long-term profits.

Purchasing real estate can be a rewarding business if you are looking for a long-term investment for your portfolio. Time can increase the value of land, tenant filled buildings and commercial properties. The question is, what type of property do you want to invest in?