Advantages and Disadvantages of Real Estate Investing | World ...

If you are beginning real estate investing then you are probably interested in what the advantages and disadvantages of this investment strategy are.

I have listed some of the major advantages and some of the major disadvantages of real estate investing as well as what to do about the disadvantages.

The benefits of real estate investing are;

1. You Get Rent Money

Of course one of the main benefits of real estate investing is that you get a money every month that you have a tenet renting out the place. This can lead to a passive income stream that is only going to grow as you raise the rent in the future to account for inflation.

2. Houses Appreciate

A house is really a valuable asset. Humans keep populating the earth and they are not making any more land. What this means is that the value of land is going to keep increasing over time. Increasing demand plus limited supply = a very good investment.

There are also some disadvantages of real estate investing.

1. The Tenet May Not Pay

What do you do when your renter stops paying? It actually happens. When people are in times of hardship one of the first things that they stop paying is their rent. Of course you can evict them, but it may take a while to get somebody new in there.

2. Damaging the Property

Tenets may also damage the property in which case you will have to repair it. Tenets don?t really care about a property as much as the landlord does, so they can give you some added expenses.

Well these problems seem pretty scary. But you can solve them by doing a rent to own contract. This way the tenets feel like they own the property and will take better care of it. Leaving you with a more secure income.

Investing into the real estate market really can be a great way to build your wealth over the long term. It is something to look at when planning your financial future.

Real estate investing is just one of many ways to create some extra income for yourself and to build your wealth.. Check here for free reprint license: Advantages and Disadvantages of Real Estate Investing.

Related posts:

1. How to Avoid Common Problems of Real-estate Investing in Hawaii
2. Why You Should Be Investing In Real Estate Now
3. Investing in Commercial Real Estate
4. What Makes A Real Estate Investing?
5. Understanding Real Estate Investing

This entry was posted on Tuesday, September 6th, 2011 at 6:01 pm and is filed under Investments. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

Source: http://worldstockmarketindices.com/advantages-and-disadvantages-of-real-estate-investing/

monavie rain rain eden wood universal studios orlando hey golds gym