REAL ESTATE IS CONSIDERED BY MANY TO BE THE BEST INVESTMENT
What is the industry that gives you the best chance to produce wealth? Real estate is considered by many to be your best investment. According to Bloomberg and Forbes, direct ownership of residential and commercial properties was the No. 1 investment pick for 2014. A third of the millionaires surveyed say they plan to buy real estate in 2015. Real estate has made more than 150 billionaires including George Soros, Carl Icahn and Donald Trump.
Warren Buffet said that owning real estate as an investment is not a get rich quick scheme. Fixed mortgages, affordable payments and long-term hold are the keys to a successful mortgage. According to Buffet, the third best investment he ever made was his house, behind only his wedding rings. Will Ade, a member of Tiger 21 (the millionaires’ investment club), said real estate is a particularly attractive investment as stocks have shown vulnerability in 2014. The S&P 500 has fallen more than 4 percent this year, while developing-country stocks have tumbled. Owning real estate is attractive because of the expected appreciation of property value and stream of rental income.
How does this affect Newark and its residents? In the Joaquin Murieta complex in Newark, a two bedroom, one bath condominium would cost you nearly $360,000 today. Last year this same type of unit in the same complex was purchased for $330,000. The medium price for a detached home in Newark today is $674,000. Last year at this time the medium price for a home was $581,000.
Not only has owning real estate in Newark generated 10 percent or more return on investment, but it has also benefited the investor’s tax base in a positive way and continues to appreciate. Whether it is a condominium, house or commercial property if you do not start somewhere you will miss the opportunity to create income.
What are the steps involved in beginning your real estate investment journey? First, find a broker or financial adviser you can trust. Then make an appointment to determine the amount you are qualified for, and are comfortable with. Second, make sure you are ready to move forward with this process knowing that it will take a financial investment and long-term commitment. Finally, keep in mind that this is a step toward financial freedom that will benefit you and your families for the rest of your lives.
http://www.contracostatimes.com/my-town/ci_28000276/real-estate-is-considered-by-many-be-best
