Nowadays real estate investing has caught the fad of many in the United States that is seen as a good source of generating additional income. They offer incredible benefits than any other type of investments being a powerful wealth generator. Here are some proven reasons as to why you need to go with real estate investing.
1. Real Estate Markets Never Haste – This means it takes a slower pace to change with its market fluctuations. Though the real estate market confronts ups and downs, their changes are slow to react unlike the stock markets. For instance, you never discover a huge difference of 10 to 20 percent increase or decrease with your investments yesterday and today.
2. Purchase for Less than the Market Value – Real estate can be purchased for less than 60 to 70 percent of the market value in many instances. Remember, this is not the same with the purchase of an under valued stock that is difficult to find on a regular basis.
3. It’s Leverage – If you plan to purchase a real estate, you can borrow money which may not be possible while purchasing stocks. Moreover by availing loans and mortgages you can control the large dollar value of your real estate with your own small sum of money. As with stock markets that has the limits on the leverage amount, the real estate market has no such limits.
4. Tax Advantages – You can experience a great amount of tax depreciation with real estate. In general the real estate has basically two values, one with the land and the other with the building on the land. The government permits the real estate investors to depreciate the value of the building in equal parts that in turn benefits the investors with a great tax reduction.
5. Investors Gain the Complete Control – As far as real estate is concerned, the investment comes under the complete control of the investors. This means that as an investor, you can increase the value of your invested property after you make some changes or renovation with it. While with stocks, you can never think about an increase with the value of investment made with it.
Real estate investment creates great opportunities to benefit where you need to look for the right deals and expertise advice. Brax Homes helps you to discover the best real estate properties for making with your investments. Know more about the real estate in Chicago from our property listing.