Want to know why Real Estate is such a good investment?
Lets say you leave your money in the bank and the bank pays you a percentage for doing that. They use your money to invest in real property to recover what they pay out, and then some. The banks pay you an average of 3-6% return for the use of your money. They make 10-20% return on these investments.
By investing directly in Real Property you earn more, and gain benefits as well.
You acquire Spendable income by generating cash flow. There are operating expenses, mortgage payments and taxes to pay with these properties.
You build up Equity Income in this property as you pay off the mortgage. You cannot spend this money each year, but when you sell the property you receive more money at the closing.
This property can be a Tax Shelter. This advantage is not offered in other common investments. By owning this investment the IRS might allow you to write off this investment against other real estate.
The Appreciation factor. The population continues to grow and there is no new land to acquire. Land becomes more valuable as time goes by , just ask New Yorkers!
This makes real estate investment the most secure and usually outpaces current inflation.