The Benefits and Advantages of Investing in Real Estate

 

Whether investing in commercial properties or residential buildings, there are many benefits to becoming a real estate investor. It’s also nice to know that you don’t need tons of money to get started. In fact, when you use services like HappyNest real estate, you can begin your investment journey with just $10.

If you’re interested in real estate investing but you’re not sure where to start, here’s a quick guide to some of the most basic benefits.

Real estate investing is an excellent alternative investment to the stock market

When we think of investing, we often think of the stock market. However, most professional investors agree that while the stock market is on a bull run, it seems to be disconnected from reality.

While no investment is entirely risk-free, real estate investment is an attractive alternative. A big part of that is that real estate has a long history of building wealth for some of the county’s wealthiest people.

Real estate is widely considered to be a viable hedge against inflation. Inflation is currently on an aggressive incline which clocked in at 6.2% for the 12 months ending in October 2021. (Source: Department of Labor).

When inflation is high, the Federal Reserve may raise interest rates, which historically causes sell offs in the stock market.

Real estate investing is an excellent source of passive income for beginner investors

For many people who are unfamiliar with commercial real estate investment companies such as HappyNest real estate, the concept of placing their hard-earned dollars into real estate investments can seem like a major risk.

But in fact, real estate investing is one of the wisest forms of investment there is. You could risk playing the stock market, but returns on stocks are far more volatile than investments in physical properties. With real estate investments, you are building a reliable source of passive income. By investing in rental properties where tenants pay monthly rent, you are are. making the income you generated, generate income for you.

Tax Benefits

Tax laws make real estate investment an excellent source of residual income for investors of all kinds. The tax benefits received an added boost from the new tax laws that went into effect this year.

The law now allows for a 20% deduction of income received through pass-through entities such as LLCs.

As an additional tax benefit, many real estate investments allow you to delay the paying of taxes on a property. Of course, you should always consult with an accountant before making any final decisions. Still, there is no denying that the tax advantages of investing in a commercial property or a residential property are both numerous and lucrative.

How to Get Started in the Real Estate Investing World

You’ve probably heard that real estate investing is a great way to earn extra income and fund your nest egg. There are many benefits to putting your money into vetted real estate properties. So you might be wondering: How you can get started?

Here are a few simple tips for taking your first steps into the profitable world of real estate investing.

Organize Your Finances

Before you get too excited and launch into your first investments, you should take an audit of your personal finances. Far too many people make investments without clearly defining their goals. another common mistake is that they don’t or know how much money they even have available for real estate investing. Don’t make this mistake.

Even if you crunch the numbers and discover that you don’t have as much income for investing as you may have thought, that’s far better than taking a blind leap into real estate. Those who set a budget and have clarity of their financial situation will ultimately be more successful when they do get started in real estate investing than those who go in without a plan.

Additionally, taking a full audit of your financial situation – your income, your outgoing expenses, your overall assets vs. liabilities – will be a crucial step in upping your financial literacy as you get started in real estate investing.

Learn the Real Estate Market

It’s safe to say that earning income through real estate investing is a trend that’s here to stay. You need only to look at the sheer size of the residential real estate market to see that’s it a great place to invest your money. While you don’t have to become an expert in all the details of the market itself, it does help to do some research on the state of the market, including learning fundamental concepts and emerging trends. Doing so will make you a more informed, better-prepared investor, regardless of which approach you take.

As an asset class, residential real estate is a $29 trillion market. The commercial sector adds another $10 trillion. For experienced investors and new investors, investing in a residential or commercial property is an excellent way to build wealth. In fact, real estate investing is one of the most lucrative ways for independent parties to gain cash flow over time.

Use a Real Estate Investing App

The HappyNest app and similar real estate investing apps make the process of starting your investment portfolio easier than it would otherwise be. In the past, you would have to consult with a broker in person. Even then, you would face hefty commission fees that cut into your take-home profits. With the HappyNest app, you don’t have to worry about this. Your account will not diminish your profits, and you can get started with a small sum. Real estate investing apps are getting more popular. They are an excellent option for the beginning investor and the experienced investor alike.

With the HappyNest app, you don’t need a lot of money to get started in building your real estate portfolio. The HappyNest app lets you get started with real estate investing for as little as $10. Even if this amount seems too small to make a difference, it adds up over time. If you’re interested in using the HappyNest app, you can download it in the App Store. We would love to help you make money and start building your nest egg through real estate investing.

How Real Estate Investing Can Help You Move Closer To Financial Freedom

Financial freedom is something that most people want, but few people achieve. Of course, there are many different reasons for this. Some people lack the knowledge or financial resources. Others enjoy some good old procrastination. Whatever your barriers are, it’s important to know that you have the power to achieve financial freedom.

One of the best ways to do so in a steady, reliable way is to invest in real estate. While it may seem like a complicated and confusing subject at first. But you’ll soon discover that by educating yourself and engaging financial tools, you can start your journey toward financial independence.

Here are a few simple tips to get you started on your journey.

Define Your Goals

Before you get into the nitty-gritty of real estate investing, it’s wise to outline your personal goals and benchmarks.

From there, you can reverse engineer the steps you’ll need to take to get there.

For example, if you set very aggressive goals, you’ll have to allocate more funds every month and be diligent about adhering to your targets. If you give yourself a long runway in terms of years to achieving financial independence, you might only need to tuck away a small amount of cash every month. But you’ll need to do so over a longer period of time.

Learn, Grow, and Adjust By Using the Best Real Estate Apps

The best real estate apps offer clarity in both their design and their investment options. It’s crucial to choose a real estate investing app that allows you to adjust your pacing, strategy, and approach based on your own goals and limitations.

While financial freedom is an attractive idea to almost everyone, the steps required to achieve financial freedom vary. By using investment apps you can stay on top of your path toward achieving wealth by learning about the market and making adjustments as you move forward.

Follow the Habits of Others Who Have Achieved Financial Freedom

You need only to take one quick look at some of the typical habits of those who are wealthy to see that real estate investing is a wise move for anyone who is looking to move themselves and their family closer to financial independence. A 2017 study by UBS and Campden Wealth revealed that the ultra-wealthy invest an average of 15% of their portfolio into real estate.

While real estate investing can cover a range of strategies to provide residual income, some of the most popular choices include investing in a local commercial property for sale or using investment services to discover the right properties in any given area. Whatever the case, research the best real estate apps for up-to-date information, investment strategies, and advice from professionals in the field. Whether you’re looking to invest in real estate with $10 or $500, knowing that this is a common strategy among the wealthy will give you the confidence you need to continue.

Whether you’re brand new to real estate investing or a seasoned veteran, financial freedom is a worthwhile goal. After all, studies have shown that despite popular belief, money does play a role in overall life happiness.

However you approach it, you’re going to need find the right tools to give you access to investing opportunities. This is where using the best real estate apps can offer you an incredible advantage. At HappyNest, we pride ourselves on offering one of the best real estate apps available in today’s market. Get in touch with a member of our team for more information. We would love to help you take the first steps toward securing your financial freedom through real estate investing!

financial freedom allows you to enjoy life more

  • This field is for validation purposes and should be left unchanged.