Real estate investment remains the safest and best way to invest your money. Investing in property comes with plenty of advantages that make it stand out from other types of investments. In this article, we have put together 4 major benefits of owning a real estate investment over other types of investments.
1. Full Control
Everybody wants full control of their business. The minute you purchase a rental property, you will be in full control of your investment! You can decide which type of property to purchase (condo, multi-family home, single-family home, etc.) and have freedom on choosing any type of financing method you want (cash, private money, hard money, mortgage loan, etc.). In addition, a property investor is allowed to set the amount of rent they want to charge, choose whom to rent their property out to, and sell their property investment any time they wish.
2. Cash Flow
All investor is driven by one common goal – to make cash. Your investment should to be able give you a good return on investment which you can either reinvest or save. Most people prefer property investments to stocks investment due to a higher ROI. Investing in property investment will also provide you with a positive stream of cash flow in the form of rent. The cash flow will cover your expenses such as property taxes, operation costs, mortgage payments, etc. and yields a higher return on investment!
3. Fewer Risks
Nobody wants to invest in high risk business. Most people choose estate investment over stocks because it has fewer risks t especially if you’re investing in for a long term. The longer you invest in properties, the fewer loss or risks you will face because property equity and prices build with time. Also, a real estate investment properties will have value always because they’re physical assets.
4. Tax Benefits and Deductions
If I earn let’s say $ 10,000 from my monthly rent and you earn the same amount from your business, I will take home money than you. Why? Because of the tax benefits and deductions I am entitled to. The cash flow from property investment property is usually tax-free. This is because the government encourages the business. Almost all expenses related to managing or owning a property such as property taxes, loan interests, operation expenses and insurance will be deducted from your tax. You’ll also not be required to pay capital gains tax when you sell the property and reinvest the profit.
You can enjoy all the above-mentioned benefits by investing in real estate. If you are looking for real estate company to help you out with your investment, contact provence-life.com. We will be glad to help you with all international real estate services.