Real estate is a wealth-building asset and should be part of your portfolio. Here are a few reasons why.
- In 2020, the average homeowner’s equity increased by $17,000.
- Homes in today’s market sell for an average of $66,000 above the purchase price.
- Last year, home values appreciated at their highest levels since 2014.
- Overall, Homeowner equity grew by $1 Trillion.
If you have the funds, and you’re willing to make the commitment, rental property is a way that real estate can increase cash flow.
Long Term Rentals
- Provide consistent income over time but requires a large commitment.
- You get an upfront return on investment. Local laws need to be taken into account.
- Interest rates could make mortgages more affordable for those considering an investment property.