Making the right investment choice is a tough decision. The vast multitude of options available only raises the level of confusion. But some things never go wrong like investment in real estate. Not that it is completely risk free but then there is some amount of risk involved in everything. Going by this one won’t be ever able to take that next step. So the thing to keep in mind is not to be afraid of taking risks in life as each decision, whether it goes right or wrong, teaches something. And every new experience brings with it things unknown before. Learn to embrace it.
The debate among real estate and stocks for being the best investment strategy is one with no perfect ending. Both have their own set of positives and negatives. But here are the top 5 things that give real estate the edge over other types of investments.
Value of a plot only increases with time. Never can you see a downwards trend in this case. This is what makes investment in real estate the best. Even if the value of a property depreciates, one has the option to wait till the prices rise again. You have the leisure to sit on a property and make the call only when the time is perfect. There are no hurries. You do not have to run along with the market. Just a little bit of patience is what is required.
Real estate investment brings with it a range of tax benefits from deductions on mortgage interests to benefit even if the property’s value depreciates. One only has to maintain a proper record of all the expenses did on the property, rent records, repairs, maintenance and other documents ready to avail the numerous tax benefits.
Unlike investing in stocks, real estate investment is something you can be sure of since you can see it, touch it. It’s tangibility gives assurance against any frauds that can take place in this case scenario at least.
Inflation is good for you!
If you have invested in real estate then you must be the owner of a piece of land or a property somewhere. Now what most property owners do is rent up the place to maintain a steady source of income. When the economy takes a hit and prices start soaring, every business takes a hit too and the whole market goes into a collective depression except you, that is one who has invested in real estate. The increasing rates because of inflation are not a problem to you because the rent too increases. Rent rates go hand in hand with inflation. So basically you wouldn’t have to go through a financial crisis like everyone else. Your well will never go dry.
Control is your hands
The ownership of a property gives you the full control to call the shots at any time that suits you the best. It makes you the boss. If you are among those control freaks then real estate investment is the perfect option for you.