There’s No Place Like Home–for Investments

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A recent nationwide survey has found that investors are flocking back home to real estate as the long-term investment target of choice for growing funds.

The survey was conducted by Princeton Survey Research Associates International on behalf of Bankrate.com in July of 2015. The results reveal trends across several areas of financial concern, including how secure responders felt with their job security, amount of money saved, amount of debt incurred, and more.

For the past few years, investors have named cash investments, such as CDs and other accounts, as the preferred means of investing their money.

Now, investors are coming home to roost in real estate as the primary place to invest long-term cash. This view was particularly true of responders aged 30 and above; while younger responders still slightly preferred cash options.

Long-Term Plan

There's No Place Like Home--for InvestmentsPutting money into real property is a long-term investment strategy for healthy financial rewards in the future. In the short-term, investment properties can prove quite lucrative in the production of monthly income, through the collection of rental payments. This option has become more attractive to potential real estate investors, as rental rates have been steadily increasing over the first half of this year.

When rental receipts beat overall inflation, that’s a plus in the earnings column. Buy a right-priced property with a low loan rate, and it’s possible to collect rents above the monthly PITI figure and come out entirely ahead of the game.

Investing in Real Property

Despite expected rises in interest rates this autumn, industry experts are speculating that it may become easier overall for buyers to obtain real estate loans as 2015 marches on. This could welcome more people into the market as investors.

It’s important, though, to recognize that the real estate pulse is not currently in a buy-and-flip status, economically speaking. View any real estate investment as a long-term home for your money. Give us a call, we can help.  There’s no place like home–for investments.

Bankrate.com

By |2016-10-26T12:20:30+00:00August 5th, 2015|Advice, Investments|0 Comments