Real estate is the best way to grow wealth, period. If you want to get super rich, then get involved in real estate.
There have been more people made wealthy through real estate than any other avenue…and there are specific reasons for this.
Real estate isn’t rocket science, but for many—especially if you’re just getting started—it seems complicated.
But I want to make it simple for you!
Here Are 5 Simple Reasons to Invest in Real Estate:
#1 Capital Preservation: Paper assets are a risk. Your dollars are not even accessible at the bank — it’s turned into electronic digits. Bitcoin and cryptos are a risk. Stocks are risky. As a hard asset, real estate has meaningful value in ways other “investments” don’t. If my real estate burns down, insurance covers it. Real estate does not have red and green days like the stock market, which is important because you never want to lose money!
#2 Cash Flow: Cash flow secures the assets — meaning the income provided by renters should exceed the cost of operating the property leaving enough cash to pay debt and provide investors with a positive return on their equity (cash). This provides a regular income stream that is significantly higher than the typical stock dividend yield!
#3: Tax Advantages: The US Tax Code benefits real estate owners in a number of ways, including unlimited mortgage interest deductions and depreciation accelerations that can shield a portion of the positive cash flow generated and paid out to investors. I sold a property recently that made $14 million profit and all of it was reinvested into another property deferring ALL income taxes until a later date!
#4 Appreciation: Over time, inflation, which is considered the hidden tax, enters into the economy, reducing your purchasing power. You can make the same amount of money today as 20 years ago and see you have less money left over. However, the right real estate investments have historically provided excellent appreciation in value because the property value is based on rents increasing not just property values!
#5 The Mystery Multiplier: Want to know the 5th reason why people invest in real estate? Pick up a copy of my new book How to Create Wealth Investing in Real Estate. I’ll give it to you FREE!