Reasons to Invest in Real Estate and How Rental Property Works
Автор: Digital Minds PH
Загружено: 2020-05-10
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Reasons to Invest in Real Estate and How Rental Property Works
KEY TAKEAWAYS
Real estate investors make money through rental income, appreciation, and profits generated by business activities that depend on the property.
The benefits of investing in real estate include passive income, stable cash flow, tax advantages, diversification, and leverage.
Real estate investment trusts offer a way to invest in real estate without having to own, operate, or finance properties.
Real estate investors make money through rental income, any profits generated by property-dependent business activity, and appreciation. Real estate values tend to increase over time, and with a good investment, you can turn a profit when it's time to sell. Rents also tend to rise over time, which can lead to higher cash flow.
Build Equity and Wealth
As you pay down a property mortgage, you build equity—an asset that's part of your net worth. And as you build equity, you have the leverage to buy more properties and increase cash flow and wealth even more.
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