Profit from building your real estate portfolio!
Did you know that approximately 90% of the world’s richest people made their fortunes from property?
Here are some reasons why I think you should consider building a real estate portfolio today!
You earn passive income. As your property portfolio grows, your income will increase. The growth should continue each year as your properties go up in value and the rent rates increase. There is no guaranty to this, but if history repeats itself, and it usually does, this should happen.
If you retain ownership of your properties, you can use this passive income during retirement and eventually pass the properties down to your children and grandchildren when it suits your schedule.
You can profit twice. With real estate property you can profit once in the form of regular rental income earned, and you can profit again from the increase in value of the real estate.
Even during a real estate market down turn, when prices stagnate or drop, your property will hold at least the majority of its value. Chances are good that the property gain value again within a few years as the market turns positive again. One thing you can count on is that the market will fluctuate.
You can have more freedom. By working to create a profitable business from your real estate investment property portfolio, you can free yourself from your 9 to 5 job. All you have to do is calculate how much income it takes for you to pay all of your bills and have a little extra, then calculate how much net cash flow you can get per property. Then just figure out how many properties it will take to have the match the net cash flow to the income needed. Start accumulating the necessary number of properties today. Start with one property and work your way to your target number.
When the income from your real estate portfolio exceeds your necessary income, you will achieve your freedom!
The creation of a profitable property portfolio will allow you the freedom to make your own decisions, to work when you wish, and to manage your finances more effectively.
You will be using leverage. If you have $10,000 in a savings account, you will earn interest on that money. The interest rate will likely be very low and taxes and inflation will eat away at any gains you make.
But if you used that $10,000 as a down payment to buy a real estate rental property worth $100,000, and got a mortgage for the balance, you make will make the average annual increase on the full value of the $100,000 property, not just on your $10,000 investment.
And, you could potentially increase your profits by buying another $100,000 property every time you accumulated another $10,000. It’s a great way to increase your profits and your income!
Your income will grow. Historically, real estate has increased in value approximately 5%+ per year over the last 50 years or so. If you consider the fact that other investments make less than that, or are riskier, or even lose money, real estate investing becomes very attractive.
Investing in real estate has its risks just like any other investment. You must do your homework and consider all of the advantages and disadvantages before you invest your hard earned money into any investment. This blog is for general information only and shall not be considered personal advice.
Good luck and contact EJCP Inc today for immediate help!