REAL ESTATE INVESTMENT
Retired at 45? Leave a legacy for future generations? Safeguard against market volatility. Be a force for social change? Want a second stream of income? Privacy? Safety? All of these are great reasons to invest in real estate. There are so many ways to make money in the real estate market that people have written thousands of books on the subject. I’m only going to highlight a few here. For a deeper dive click below to read my blog post.
OWNING YOUR OWN HOME
Buying a home is one of the safest and most successful ways to generate long term wealth and financial stability. For example, a family that rents for 5 years has nothing to show for it. The same family, in the same home, if they buy it, can be expected to have a $25,000 - 50,000 increase in personal wealth in the same 5 years.
SHARED LIVING INVESTMENT STRATEGY
Buy a home with several bedrooms, rent out the extra rooms at a rate that covers the mortgage and expenses. This can be short term while in college as a means to pay off student debt or a longer-term method to build a multi-property income portfolio.
FIX AND FLIP
Who hasn’t seen HGTV and thought, I can do that!
Fix and Flip: This one is easy to explain, harder to pull off. Fix and flip means you buy the home at a reduced cost, fix it up and sell it for fair market value. Can you make money? Yup! People do it all the time. It is risky. Yup. People fail all the time. There is a lot to this and requires a conversation with a lot of people before you start. However, for the right person, it can be a very fast path to building wealth.
FIX AND HOLD
Buy a distressed property, fix it up, and rent it. This is a longer-term approach but rental income is usually a good investment. Owning rental properties has been a way to generate wealth for families going back generations. Do you have to buy distressed? No, you don’t. In fact, for some people, I wouldn’t recommend it. Rental markets come and go, sometimes it’s a tough life and not one to enter into lightly. However, if you can make it work, you have long term investments that you can hold on to for years and pass to your children so they can continue to have investment income.
All of these options are way more complicated than I’m stating here. These are examples and literally, EVERY SINGLE investment is different. Every property is different. What you need is someone you can trust to sit with you and answer your questions and ask you the ones you need to answer.