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11 April, 2018

Why should you invest in Real Estate

Features

The demand for investment in real estate market has escalated over the last 5 years and there are plenty of reasons why real estate investment can be beneficial for your investment portfolio.
Real estate properties normally appreciate in value with inflation and increase in value could imply sale and reinvestment in higher value property options. Investing in property is inflation-proof and rents usually increase with inflation while mortgage payments on the property remain same. This increases the cash inflow without any increased expense of holding property so when inflation goes up there are more renters so rents escalate. Investment in real estate is not very troublesome or complicated because there are thousands of realtors and real estate companies that provide professional consultation services now to guide the interested investors. Once you plan what kind of property you need and where do you prefer the real estate firms are ready to proactively search for better property options for you.

Investing in property is much simpler and easy than investing in stocks & bonds that requires a lot of information and deep knowledge about the world trading, research brokers, and fund managers. A person has to keep aware of annual reports, financial statement of Analysis and financial/public press but you don’t have to go through that hassle when investing in the property market. All you have to do is some online research on property prices & types of property from a reliable real estate website or social media forums. Also visiting a house or area of interest i.e. towns or society or auctions can also help gain insightful knowledge about property market trends. Another big factor in favor of property investment is the fact that lenders and financial institutes prefer to extend loans on residential property than any other asset class. Home loans are a major part of a bank’s business model and they tend to lend up to 95% of the value at relatively low-interest rates than any other asset class.

The Advantage of leverage is immense and you can borrow more money when using the property as collateral compared to a shared portfolio. Lenders will lend up to 95% of the value of the property whereas only 50-60% of the value of a shared portfolio is given, so if two people approach a financial institute to borrow funds suppose A lends for purchasing a house and B lends to buy stocks in a firm then A can borrow up to 5 Lacs and B can borrow up to 3 Lacs. And if the value of property & stocks increases by 10% in a year then A will receive a higher capital gain then B, hence there is a greater scope of leverage in real estate market.
Property investment is a remarkably flexible and one can apply any investment strategy that suits your circumstances. 
Long-Term Capital Growth
Are you looking for a retirement lodgings? Long-term investment increase is the answer to your desire then because a property has historically proven the ability to deliver capital gain provided you opt for the perfect area with high demand and demographics.
Positive Cash Flow
Are you in need of cash?  Choose properties whose rent outweighs holding costs. Rent it up and benefit from monthly rentals.
Adding Value
The best way of adding value to any property you own is by simply renovating and decorating it according to the latest house décor styles to give it a modern and refreshing appeal. Make your home or property look inviting and warm, do a fresh paint job and add few personal touches and increase the investment worth by multifold.

Let’s not ignore the facts that investing in real estate has multiple benefits such as 100% control of the property once you have been handed over the possession (i.e. paid your installments & legalities). You can develop and revamp the property as per your choice. There is price flexibility & investment for every kind of budget. Yes! You are not restrained to a certain budget limit to get your dream house rather property is available in every price range, all you have to do is transfer your wishful stipulations to a real estate company ( prefer Apex Group) and they will guide you in the right direction to get you the best plot deal. Lastly investing in property is more stable because property market is less volatile compared to stock market due to the effort required in purchasing property in terms of legal checks, diligence,  length of settle periods, inspections and so on. This means the property is less prone to short-run speculators than stock assets and since the property is a long-term investment & hard to liquidate the market is more solid & secure.
If you require any assistance on the subject of why invest in land and why from Apex Group? You just need to call us & our efficient team will satisfy your queries in the best manner and hopefully win you over!


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