Why an Investment Property Should Be Your First Real Estate Purchase

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Real Estate Agent with Woodland Management Service / Woodland Real Estate, Keller Williams Fox Cities #1 in Forest Land Mgmt
REAL ESTATE NEWS
Brought to you by Bob Crane
 
Why an Investment Property Should Be Your First Real Estate Purchase
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For RentNot ready to buy a home for yourself but want to take advantage of great market conditions? Consider buying an investment property! It's a trend that's taking over real estate, as savvy investors look to put their money in an appreciating asset. Here are five reasons to consider it.

1. Rates are crazy low. Lower rates mean more affordable lending, or more for your money if you choose to reach higher.

2. Because it will appreciate. According to CoreLogic, "The overall home price index (HPI) has increased on a year-over-year basis every month for seven years." The long-term price appreciation of real estate can provide one of the safest investments out there.

3. Because passive income is good. Yes, it's nice to know there will likely be appreciation over time, but the real key to success with investment properties is passive income.

"The best part about rental properties is that they provide a stable income," said Mashvisor. "What would be better than having a check sent to you every month? In order to have positive cash flow, you have to make sure you invest in a profitable rental property."

4. To turn it into a short-term rental. The short-term rental market has opened up a new world of opportunity for investors. By buying in the right location—by the beach, near a ski resort, or in close proximity to a popular annual event like Coachella, you have the potential of making a significant return in a short period of time. Just be sure to check the local laws, as lots of cities have been cracking down on Airbnb and other services.

5. Because it can help you buy the home of your dreams down the line. "Buying an investment property before your first home does not imply that you won't have the funds to purchase your actual home at some point," said Mashvisor. "In fact, investment properties that have been purchased wisely and have grown in value can offer you a sizeable amount of wealth and equity."

 

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Re-Blogged 1 time:

Re-Blogged By Re-Blogged At
  1. Nicholas Crane 11/02/2019 02:55 PM
Topic:
Home Buying
Location:
Wisconsin Portage County

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Rainmaker
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James Dray
Fathom Realty - Bentonville, AR
Exceptional Agents, Outstanding Results

Morning Bob.

Investment property is strong and doing well in our area. Good to see Sara Wagner is now a Rainmaker.

Sep 09, 2019 02:01 AM #1
Rainmaker
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Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

Good morning Bob. While not for everyone, it is worth considering. Enjoy your day!

Sep 09, 2019 05:23 AM #2
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George Souto
George Souto NMLS #65149 FHA, CHFA, VA Mortgages - Middletown, CT
Your Connecticut Mortgage Expert

Bob I have never wanted to be a landlord, but you make a good case for it.

Sep 09, 2019 02:50 PM #3
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Paul S. Henderson, REALTOR®, CRS
RE/MAX Northwest. - Tacoma, WA
Tacoma Washington Agent/Broker & Market Authority!

That's where I started at age 20. Those are 5 great reasons to buy land for me, rentals came later  Bob Crane 

Sep 09, 2019 09:59 PM #4
Rainmaker
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Roy Kelley
Realty Group Referrals - Gaithersburg, MD

Investors will be in very good hands when they seek your advice and use your professional real estate services.

Sep 10, 2019 11:55 AM #5
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Debe Maxwell, CRS
www.iCharlotteHomes.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
Charlotte Homes for Sale - Charlotte Neighborhoods

SO many of my clients' first homes become their first investment property when they're ready to buy up. I think that is such a smart way to keep investing too, Bob! Build the wealth, right?!

Sep 12, 2019 08:45 AM #6
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Bob Crane

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