Real Estate has historically been the safest and most profitable vehicle for investment. However, there is no such thing as investment without risk, even in Real Estate. All numbers and estimations given by us – electronically, orally or in print – are based on the information that was given to us by real estate developers and by our research of investment publications, trade publications and other expert business sources. We can use historical precedent and current market conditions and trends to project future expectations. However, no projection is ever a guarantee of future profitability. We strongly recommend investors to carefully inspect the available properties and to do their own research before investing. It is always advisable to consult a licensed professional before purchasing property. Also, in order to know the tax benefits a particular property will bring, the investor should consult a professional tax advisor who specializes in working with Real Estate investors.
Disclaimer
Frequently Asked Real Estate Investment Questions
Isn't it risky to buy properties out-of-state?
Not really. It is better to buy a profitable property in a good area in another State than to buy an unprofitable property next door. It is always important to look for the areas that show the most income through cash flow and appreciation. And of courss, you want to buy in an area where the demand for housing is increasing and the future job outlook is good.
How can I manage out-of-state properties?
Use a professional property manager to handle all the details of renting your property, managing it and collecting the rent. Competent property managers will do allthat and more for a nominal fee - usually 5% to 10% of the collected rents.
Why is real estate a better investment than stock?
Throughout human history, Real Estate has been the #1 way people have gotten wealthy. Most wealthy people have always had extensive real estate holdings.
1. Better leverage. You can buy a lot of properties for
2. Better tax benefits. You can take depreciation and you can deduct mortgage interest. See a tax professional for advice.
3. Better cash flow when you buy the right property
. 4. You can take your profits without selling your investment by refinancing or taking out a HELOC.
5. You can make money by increasing the value of your investment by remodeling or adding on.
Can I use my IRA to buy investment properties?
Absolutely. A lot of smart investors are switching their IRAs to Self-Directed IRAs. You can use your IRA to purchase investment properties, but you can use it to purchase your own house. You can get more information here: Self-Directed Real Estate IRA
Why did my financial advisor say I shouldn't invest in real estate?
1. Your Financal Advisor won't make any money on the funds you upgrade to Real Estate investments.
2. Real Estate investing is not your Financial Advisor's field of expertise.