Property investment has proven itself again and again as a way to build wealth. Most of the youngsters are encourage to get involved in property investment as early as they can because they can get much more benefits than someone who started in their late 30s or 40s. To know why…here are the benefits of property investing.
Benefit ① – Good Returns
Typically in an average property market, most property investors will see their annual return of between 8 to 10 percent. This steady incline in property values is often a lot better than what you’ll earn with a money market or standard savings products.
Benefit ② – It Provides Leverage
Leverage is being able to use loan to finance the purchase or development of a property investment. This is because a property can be used as collateral, and it letting you can invest in something without using the cash from your pocket.
Benefit ③ – It’s Easy To Get In
Almost anyone can get into the property market at some price point and even if you only have modest means.
Benefit ④ – Relatively Stability
Unlike the risks of stock investment, that may yield high returns initially but drop like a roller coaster later, property is often s sound and stable investment. Overall, property is slow to fall and slow to rise, meaning with patience then you can only make a significant profit from it.
Benefit ⑤ – Capital Appreciates
Property always have potential appreciate over the long run, and do so consistently. Unlike a tech stock or a hot mutual fund, a property investment will continue to appreciate – meaning with patience too.
Benefit ⑥ – Tax Benefits
Setting yourself up as a property investor means you can claim or deduct expenses like property improvement or maintenance to offset your investment income.