The great Mark Twain once said, “Land! It’s the only thing they’re not making any more of.” Of a truth, it is the only thing we can’t make more of, or have less of.
Real estate investing is a fixed-sum investment. Still don’t understand? Any state or city has so many piece of land for sale, and when they are all sold, worry not they are not all gone. In other words, sold lands don’t go away. The beautiful thing about land and real estate investing is that Land very rarely disappears. We can sell it, buy it, divide it into small pieces for sale, merge into scalable pieces, yet it still doesn’t go away.
Stocks on the other hand, is mostly opposite of the aforesaid about investing in real estate. Companies can come up with shares by incorporating, and easily make the shares vanish when they shut down. The only thing fixed about shares of stocks is its representation of a percentage of something fixed.
You can as well create smaller percentages of ownership when it comes to stock ownership and investment, however, a company can never sell more than 100 percent of itself. The greatest limitation comes mostly in the case of winding up or bankruptcy. Request property now at Investway Group.
Real Estate Investing Explained
It can simply be explained as purchasing ownership in “real property”, a term used to describe buildings or land. Real estate is not just any tangible, physical property, which can also mean a personal property aside land like cars, watches, clothes, among many others. Real estate investing is investing or buying real estate properties, that is, land or buildings, be it residential or commercial.
Residential properties are building where the owner lives in, solely or partially as their primary residence. Commercial properties are building used mostly or solely to generate revenue.
There are several methods to investing in real estate. The most popular method for individuals is the buying of a single-family house.
There are also “Real estate investment trusts”, “Joint and Several Ownership”, “Rental Properties”, “Direct Revenue”, “Property Flipping”.
To this very day, investing in Real Estate remains the safest and best way to invest. There are many advantages and benefits that come with investing in Real Estate, alongside the highly rewarding ROI. These advantages set property investing in a higher class from other types of investments, majorly stocks. We will quickly take you through why you should consider Real Estate Investing over stock investment in this article. Click here to request a property.
Investing in Real Estate Over Stocks
Tax Benefits: Real Estate Investing offers many tax benefits and deductions. For example, property investors can mostly deduct almost all managing expenses on a property, including tax deductions. When you are in the property market, whenever properties are sold, and profit is re-invested, you get the option of escaping from capital gains tax. And fortunately for those in investing in properties, cash flow from an investment property is mostly tax free.
Full Control: It presents investors with the ability to have full control over their investments. They are free to decide which type of investment property to buy. How their investment is directed and which investment method to use unlike stocks.
Tangibility: Unlike stocks, real estate investing is an investment in physical asset, and leaves investors with something tangible even if the market value diminishes or crashes. This is a big hedge against complete loss and bankruptcy. In other words, Land or building don’t vanish, so you will still have something in any circumstance or situation.
Fewer risks: Investing in properties has fewer risks than any other type of investing, most especially when considering investing in the long-term.
Potential stability: Real Estate Investing is a more stable asset than shares of stock, with greater potential for long-term profitability and growth.
Familiar Terrain: Property investing is a very popular and familiar terrain for investors, and can easily be understood, checked out and inspected. Factors affecting real estate investing are quite popular and easy to understand by anyone.
Inflation Hedge: Investing in Real Estate keeps pace with inflation. As cost of living increases, so does real estate. The prices and value of investment properties rises enough to cover up for inflation. Therefore, when you are in Real Estate investing, inflation will forever be your friend.
If you are thinking of long-term and generational financial goals, then think no more than Real estate investing. Request a property now..https://investwaygroup.com/property-request/