Are you at the point in your life where you’ve settled in with your job and are lucky enough financially to begin to invest? Then a good place to start is with an investment in real estate. Keep reading to learn why purchasing a home is great for your investment portfolio.
Less Volatile Than Stocks
Having money in the stock market is great when you’re in a bull market. However, things can quickly get ugly once there’s a stock market correction. So to hedge against the volatility of the stock market, it’s best to invest in something that’s more stable in prices like a new construction home. Plus, the fact that real estate prices aren’t directly affected by the stock market makes it an even better cushion to have once you’re faced with a bear market.
You Can Live in It
Stocks and bonds are assets that are only valuable because of the amount of money they’re worth. Meanwhile, a house can actually be lived in. Thus, even while you’re waiting for your house to increase in value, you’re still able to make great use of it. Also, if you live in a house that you own, you can forgo renting a place. Then the rent money that you save can go towards even more investments.
Allows You to Become a Landlord
Some people shy away from buying a house because they’re afraid that they might not end up living in the house for long. However, even if you don’t live in the house, you can still profit from it. Just rent it out and become a landlord. You’ll gain equity while someone else helps to pay for your mortgage.
Contact us to learn even more reasons for why it’s smart to invest in real estate.
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