Real Estate
What is real estate?
- Real estate is the land with any structure on it whether natural or man – made features
- It is a form of physical and private property
- It is different from personal property as these are not permanently attached to the land; such as vehicles, jewelry, furniture, etc
- Examples of real estate are houses, farmland, etc
Why should you buy real – estate?
- Real Estate appreciates in value over time, with a good investment; you can profit by selling it at a high price
- It can easily be turned into a passive income asset; for example constructing multiple houses and renting them out
- Take out a loan to buy house 1. Rent it out which will pay the Emi’s partially. Once it’s paid off., purchase house 2 and rent it out as well. Rent’s from both houses will pay for house 2. Repeat till one reaches house 5 or 10 as per risk appetite.
- The above also gets a tax benefit called negative gearing. The interest paid to the bank is deducted from ones income when calculating ones taxable income.
Pros and Cons of Real Estate
PROS
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CONS
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Institutions in Real Estate –
The links below are government – authenticated real estate brokers where you can learn more real estate, and also invest it –
Summary
- Before buying any real estate, research carefully about is prices, geographical features, etc
- Always find potential buyers before buying real estate to sell it as fast as possible during an emergency situation
- Turn your real estate into a passive income source; such as renting it out
- Keep buying real estate and turn into a passive income source to purchase more properties and other assets
- Monitor the land properties to improve or maintain it on a weekly basis to increase its aesthetic value
- Monitor real estate prices to know and inference if land prices are increasing or decreasing