Investing in real estate in your twenties is tough considering money is the most important constraint. If you’re one of the few lucky people, who have inherited a large sum of money from your folks, then investing in property is easy. Today, investing in real estate is more precious than putting money into gold. It’s true that the risk associated with property investment is larger, but this could turn into a valuable asset in the future. We help you to know whether it is good decision to invest in real estate, read further to know more.
Regular cash flow:
Whether you’re seasoned or first time real estate investor, make sure you have set your priorities. As a young property investor, you may be having several goals and one of them could be attaining consistent cash flow or capital gains. One way to generate capital gains is to buy a property that has low retail value in the market and then selling it at a higher price. For judging the price fluctuations, make sure you are aware of the price rise that may vary depending on the market conditions.
Huge return on investment/ Appreciation:
When you’re in 20s, real estate investment gives you the opportunity to earn extra income. Don’t let any money sit idle, it is advisable to invest in property. You can gain decent profit by holding properties for a few years. Depending on the location advantages and market conditions, make sure you’ve picked a perfect property that yields maximum profit. However, it is good to remember that this industry should be looked at as a long-term investment.
More time to learn:
As a young investor, you have ample of time to learn and assimilate knowledge on investing. If you’ve done any mistake, you have more time to recover from the loss incurred. Being an expert in real estate gambling game is all about learning new things. In fact, if you have acquired the right skills and applied the tactics about investing, then you can also become a consultant in the long-run advising people on the profitable opportunities.
For working professionals, investing is also way to save on income tax. Just like Public Provident Fund (PPF) and Insurance, which help to prevent tax cut, you are eligible for tax exemption on interest if you have invested in second property. In case, more than one borrower is involved in the investment, tax exemption option is granted individually.
Build Wealth & retire early:
Most of the times, the pervasive reason behind investing in real estate is accumulating wealth. If you’re passionate about this field, then you will be able to find and quickly resell to end users or to investors. This is one of the best ways to build wealth and opt for early retirement achieving financial independence. You are assured of getting steady income for a lifetime.
When deciding to invest in a risk market, it is necessary that you have the required information and a strategy in place before making any move. Being extremely competitive and challenging, you need to keep in mind that not every investment will be successful, but eventually some may bring out positive results. If you have decided to invest in property then it is important to remember that good investments take time.
Whether you are looking to invest for a dream home or want capital gains, check out Akshay Argade, which offers amazing opportunities to invest in residential properties.