Some Reasons Real Estate Is, Once Again, a Prudent Investment
Construction is on the rise, foreclosures and repossessions are decreasing. The U.S.. Census Bureau recently reported that new residential sales in 2017 have increased an estimated 16.9 percent compared to the same period last year.
Far from least, US median property sales are up by 11 percent annually, the biggest increase since 2015.
It’s clear, conditions are optimal, with low property prices, decreased interest rates and a high demand for housing, there has never been a better time to profit from owning rental property.
In my opinion, the next five years will be the best ever for those who choose make their fortunes in real estate. If you already own property, hold onto it dearly. Don’t be tempted to sell. If you’re still on the fence, there are some things I want to share with you:
1-Property hasn’t been this affordable in decades. Mortgage rates are holding at a remarkably low percent. That means reasonable monthly repayment costs that make owning investment property an attractive way to create wealth.
In these market conditions, the value of the equity that an income property offers is not to be underestimated.
2. Rental prices are soaring. Despite these low mortgage rates, home ownership is unfortunately a distant dream for many Americans still recovering from the financial crash. As a result, more people are living in rental accommodations.
With demand driving up costs, rental prices are at an all time high. This spike in demand is highly beneficial for property investors who will see their investments appreciate, as well as earning steady monthly returns.
3. Capital is increasingly accessible. Beyond seeking a bank loan, there are increasing numbers of private capital investors available to offer financing in exchange for a portion of the returns.
4. You can be a stress-free landlord.
Welcome to 2018, when being a landlord doesn’t have to be a headache anymore. With technology-based solutions and the rise of service-oriented businesses, the bulk of the work takes a fraction of the time and energy. There are two options: You can either offload this entirely to a reputable property manager or you can go it alone, using apps and online software to market your properties, collect rent and analyze your investments.
Whether you’ll be making your first buy or maximizing your portfolio’s earning potential by outsourcing the hassle of property management, and let an out-of-sight, out-of-mind real estate investment pay dividends, it’s time to take advantage of this market.