According to Louis Glickman, the best investment on Earth is Earth.
There are two major ways to make money, you either work for your money or you make your money work for you.
Making your money work for you is referred to as investment.
Investment is a risky endeavour that can incur financial loss for an individual if not understood properly. Investing in Real Estate is one of the safest investment options available in the society today.
Investing in Real Estate requires little intelligence, however patience is the number one tool required while investing in Real Estate.
As a Real Estate investor, you must be able to buy a property, renovate it, and wait for the long term returns.
Rental income is the new crude of investment that is yet to be explored by many.
Investors who aspire to have long term success cannot afford the luxury of impatience [though they usually think the opposite is true].” Frank Martin
The Real Estate industry continues to grow irrespective of the recession affecting the world economy due to the recent global pandemic.
Though quite a lot of businesses and industries were affected, however the real estate market continues to appreciate in its value.
Below are three reasons why you should invest in the Rental Income aspect of Real Estate.
1. It is Safe
Real estate remains one of the safest sectors to invest in.
Though one of the challenges faced in this sector is the delay of payment of rent by tenants, but this could be checked by the investor with a good property managing company.
Also, I would suggest that if you want to invest in rental income, invest into multiple units property as this yields higher rental income than a single unit home.
2. Highly Profitable
One of the biggest benefits of owning multiple units is the regular rental income it will generate for the owner with almost 100% certainty. Unlike in the case of stocks, once you own a multiple units property, most especially in a lucrative area, you’re not at the mercy of volatile market forces capable of decreasing your net worth overnight. Owning a home assures you of stable and regular monthly income that will keep increasing over time – along with the capital value of your property.
3. Tax Advantage
A rental income property comes with many real estate tax benefits, such as cash flow, cash appreciation, and equity growth. It is not only a solid and tangible investment,it’s also a chance to lessen tax burden and a means of acquiring more profit for the investor.
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