Reinvestment Advantages
Popular Investment Alternatives
- Savings accounts
- Individual Retirement Accounts (IRA)
- Marketable securities (stocks and bonds)
- Mutual funds
- Business ventures
- Commodities
- Collectibles (art, antiques)
- Direct real estate ownership
Real Estate Investments Provides
- Retirement Plan
- Tax Shelter
- Leveraged Growth
- Tax Breaks
- Compound Growth - Inflation
- Forced Savings
- Source of Non-taxable funds
- Security
- Controlled Investment
- Means to Build an Estate
Real Estate Investment’s offer the ability to borrow large sums of money:
- At fixed rates
- For long periods of time
- On appreciating assets
- With definite tax advantages and reasonable control
Real Estate Investment’s provide opportunities for personal involvement to use individual talents:
- Decorating
- Carpentry
- Marketing
- Financing
Real Estate Investment Advantages
- Financing
- Leverage
- Passive Income
- Appreciation potential
- Equity build-up
- Ease of obtaining information
- Tax shelter
- Pride of ownership
Real Estate Investment Disadvantages
- Lack of liquidity
- Loss of value due to market
- Property hazards
- Management requirements
- Legislation
- Unexpected expenses
- Number and size of units
Types of Real Estate Returns
- Income
- Appreciation
- Gain in value due to owner expertise
- Loan amortization