If there ever was a time-tested, millionaire-approved investment, it's real estate. There's a reason there are over 22 million independent landlords in the US, and the number is only growing.
Well, if you want to get in on the action, you can start with less than you think, and still reap the same rewards!
Let's talk about some of the key benefits of investing in real estate for beginners below.
Stable rental income, large profits on the backend, selling condo units or earning dividends. These are just a few ways to invest in real estate, and the best part is that you don't have to choose just one!
You can rent out a property and then flip it, invest your income into a REIT, or sell your investment property unit by unit.
2. Tangible Investment
Some people don't like the volatility of crypto or stocks, so they choose to invest in something more tangible. Whatever your reasons to invest are, things like precious metals can still fluctuate quite substantially, but everybody needs somewhere to live!
Even if you rent it out for 30 years and earn hundreds of thousands of dollars from the investment, you'll still have the tangible asset to sell when you decide to do so. If you make some renovations during that time, you may even earn a profit!
3. Secure Retirement
Rental income can be a major supplement to your retirement income. Around half of Americans nearing retirement age have nothing saved for retirement, so securing monthly checks could be a lifesaver.
You can even do a self-directed real estate investment out of your IRA to boost your retirement fund if you want!
4. Total Control
Can you think of another investment that gives you the same level of control for less than 20% down?
Once you own the property, you aren't beholden to anybody, which means you can set your own policies and make your own decisions. Nearly anybody can become a real estate investor with the right loans.
5. Passive Income
Finally, if you don't want to do any of the work after purchasing your property, you won't have to. For just a small portion of the rent (under 10%), you can have a property management company handle everything from budget management to tenant screening and maintenance!
You'll also have the help of experts managing your property, so you'll know that the right rates are being set, the lease agreement is good, and you'll find the right tenants for your property.
From there, you can just sit back and watch the checks roll in from anywhere in the world!
Discover Other Benefits of Investing in Real Estate
Now that you know some of the key benefits of investing in real estate, what about being your own boss, setting your own rates, diversifying your portfolio, and protecting yourself from inflation? If all of that doesn't win you over, then we don't know what will!
Stay up to date with our latest real estate news and feel free to contact us with any questions or for help with your investment!