The long-term benefits of land and homeownership have stood the test of time for thousands of years, and real estate has historically always proven to be a crucial investment, no matter the price point. Although real estate cycles ebb and flow, properties continue to appreciate over long periods of time (and in many local cases, over very short periods of time), with equity helping to grow family wealth year over year. Investing in real estate allows a type of forced savings that is unlike any other – forced savings that can appreciate 5%, 10%, sometimes 20% year-over-year, depending on location and other market conditions. Homeowners can then use this forced savings on whatever their long-term goals are – perhaps it is to size up to a different home, leverage the equity to make strategic improvements to increase the return when it is time to sell, or perhaps to just cash out and use the equity for whatever else the heart desires.
Real estate allows for so many additional benefits outside of equity, too. Tax deductions, rentability/cash flow potential, not to mention a secure roof over your and your family’s heads in a neighborhood that you can make memories in for years and years. It is as diverse as an investment can be – coming in all shapes and sizes, in all different locations, with an infinite list of customizations and options. Viewing a house as an investment is a critical consideration for all purchasers who have any second thought about growing family wealth; and it is a beautiful thing that this investment also translates to what you call “home”.
Posted by Alison Crim on
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