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The real estate market in the country is booming. If you are looking for a suitable investment option to invest your money into so that you earn a reasonable rate of return on the amount, this where you should focus your attention. Selim Zherka, a prominent real estate developer and consultant from the United States, says investing in properties is less risky than investing your money into bonds, stocks and mutual funds. This expert with more than 30 years of valuable experience in this field points out the following reasons for the popularity of buying, selling and leasing of real estate assets:
Many investors find that spending their money on stocks and shares can be a very risky business in comparison to the returns they receive. You need to constantly observe the prevailing conditions before taking any decision on your investment. This is because when this financial market flourishes or faces a dull period, you will notice a sudden surge in the prices of such assets. This tempts you to sell what you hold in order to get back twice as much of money you previously spend. In many cases, you also have a tendency to reinvest this amount in the market.
However, when there a dull period, there is an abrupt fall in the prices of such assets and your entire investment may turn out to be worthless. This is not the case with real estate assets.
The primary concern of every investor is to earn a high rate of return on the money he/she spends on a financial asset. Properties of all categories have a tendency to appreciate in value over time unlike stocks and bonds. This makes these assets a suitable investment option if you are looking for ways to increase the returns on your investments without having to incur unnecessary risks.
Tax saving benefits
Prudent investors are always on the look out to buy assets that can help them earn money and reduce their tax liability. When it comes to buying properties, you can apply for mortgages from financial institutions and claim tax deductions on the amount you have to repay in the form of interests and the principal amount. Such benefits are not available if you opt to invest in the stock market.
Regular income in the form of rents
One of the main advantages of investing in properties is that you can supplement your present earnings by letting out the assets to tenants for rental income.
The above benefits may tempt you to invest your money in the property market in order to earn lucrative returns. However, you need to be aware of its prevailing conditions before taking a decision to invest your money into it. Selim Zherka suggests you should also take the help a proficient expert in this field who can help you choose the right investment strategies. Such a professional can even help you look for the suitable real estate assets that can cater to your needs and ensure you get value for your money. This will turn out to be a win-win situation for you in the long-run.