The fact is, there is more “wealth” in this world gained and retained from owning and/or controlling Real Estate than any other investment vehicle. The vast majority of high net worth individuals hold REAL ESTATE.
And why you ask?
Ah, let me provide a few of the ways...
1) Real estate is a “tangible” investment. It is real. You can touch it and see it. It can’t simply disappear in a down market like a stock might.
2) Even in a down market, real estate will NEVER be worth zero. It will always carry a financial value. Stocks can go to zero. Businesses can disappear along with your investment.
3) In stocks, someone else is in total control of your investment. The only control you have is whether you are in or you are out. That’s it. In most Real Estate investments, YOU ARE IN CONTROL!
4) What other investment could you own where someone else (a total stranger) is going to pay for ALL the expenses associated with that investment? Think about it - a total stranger is paying your mortgage, taxes, repairs, upgrades, management fees & potentially a down payment on your next investment. Everything!
5) What other investment provides a consistent cash flow month in and month out?
6) Pay no taxes on your profit when you sell! You can sell real estate by re-investing the proceeds (including the profit from the sale) TAX FREE into other Real Estate investments (called the "1031 Exchange"). You may also invest in Real Estate through a Self-Directed IRA
7) What other investment offers so many perks in one investment vehicle? A Real Estate investment offers:
a) positive monthly cash flow,
b) generous tax deductions,
c) Depreciation of the investment while at the same time...
d) The investment is appreciating in value!
All this is bundled in one investment!!! That “ain’t happenin'” with any other investment - just Real Estate!
Well, we hate to disappoint you about the "10 Rules of Success"...but there is no such thing as a magic "10 Rule formula" that is going to make you a successful Real Estate investor. The rules exist, but you simply can't apply them across the board to every type of Real Estate investment and certainly not to each independent Investor.
You hear a lot of so-called “experts” out there telling you how to invest in real estate. And for every opinion, someone (another “expert”) is there to tell you the opposite. So, the question is...who do I believe? The answer? All of them and none of them.