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WAITING TO SAVE ENOUGH MONEY FOR INVESTMENT IN REAL ESTATE?

as published in realestateinvestments.com

In a line of considerations, investors looking to build a solid portfolio, they usually tail real estate investments at the last. Because, well, purchasing properties is expensive. This largely happens with beginners and small investors who are not only short in capital but also lack the necessary knowledge to effectively leverage on emerging market trends.

Do You Have The Same Plan?

So, here’s what they generally do: they plan to save enough money over the years so to buy a good property. (Meanwhile, the stock market is their go-to.) This plan might seem fitting to many, but it has its own share of flaws. One of the biggest problems is its reluctance to anticipate economic conditions. Currently, it is one of the best times for investment property.

The Problem One

The market, having recovered well from the Great Recession of 2008, is highly favorable for investors right now. While the talks about impending recession always exist, following the housing bubble of 2006, we sure have learned a lot to not commit the same mistakes again. The housing market remains safe and well on track for sustainable growth in the coming years.

The Recession Is Inevitable—But So Is Growth

Also, when looking outside the USA, to the smaller countries in Asia, Africa, and Europe, their economy is booming. This, even when market crashes, won’t halt for very long. Progress and urbanization don’t wait for the favorable market conditions—more so today than ever when technology’s penetration is widespread, and governments are more serious about development. So, you can invest money in emerging countries, towns and cities that almost assure you of dream-like returns.

Did You Know: Decades back, a property in Malibu would come at about $100,00 to $250,000. In 2017, the average sale price of homes in the city was $6,000,000. How sure are you that you’re not letting go of the similar opportunities in some other cities and states?

The Problem Two

Another flaw in trying to save “enough money” to purchase properties is that it’s quite idealistic. You will never save enough. No one will ever get to that perfect moment, with sufficient fund, to initiate anything, let alone the real estate investing. Perfect moments to do something never exist. You just have to learn to make the most of the current situations. Rhetorical and cliched it may sound, it’s true.

A Simple Solution

If you’re genuinely constrained in the budget, even that is not a problem today. Nowadays, for retail investors, investing in real estate has become seamlessly easier with pooled fund arrangement. You can get together with other individuals like you who want to invest in properties but lack adequate capital, you can pool a fund with them, and then you easily purchase the desired, highly promising properties.

And not just that—with the right real estate investment companies by your side, you can even invest in commercial properties and even government projects that promise much higher returns than the residential ones. To that, if you have done your research correct, these are also the companies who can help you pool fund if you’re in real estate investment services.

So, don’t wait till you have enough money to invest in real estate. Today, you have more alternatives and better opportunities to start right away. Take that first step and build a solid portfolio.