Who knew investing in real estate could be so much fun?
The decision you and your wife made about purchasing investment properties in several locations throughout the country has had its challenges, but it has included plenty of fun as well.
One of the features in the vacation home you are building in the Rocky Mountains is a HD projector with a 110 inch screen. You are probably more excited about this than any other feature in the house. The screen just arrived last weekend, and your wife said that you looked like a little boy at Christmas time. In fact, she compared you to Ralphie hugging his Red Rider BB gun.
The progress on this property is happening fast, but it is also hard to believe that you close at the end of the month. Like the two other property investments you have made so far, you have been on site for the final two weeks of construction. It allows you to oversee the finishing touches and to be the first residents. After your initial stay, much of the property leasing is turned over to a local leasing agent who will help you attract the kind of high end clients you are looking for.
There is a lot of work to do between now and when you can enjoy the space for yourself and then let others start renting, but this crew has their work down to a science and there are multiple trades working at the same time. This past week, they have had plumbing, electrical and HVAC installed, the front porch has been poured, garage doors installed, stone laid and the deck has been started. The process has been amazing.
The list of details that have been completed are hard to keep track of. Electrical wire has been run. Decorative iron straps and handles will be installed on the garage doors this week. Rock is being laid on the front and will eventually wrap around the side. The 7.1 surround sound speakers are being installed in the ceiling, subwoofers are going behind the wall, and you are less than a month from closing.
Real Estate Investments Can Provide Sizable Income and Profits
Whether you are looking to invest in a vacation property that you will rent out to others or you are planning to invest in student housing options, the real estate market is one way to diversify your portfolio. In fact, finding the right property at the right price can help you turn a pretty quick profit in many parts of the country. The rental property market allows you to begin with an initial investment and then let the renters essentially make the loan payments for you, all while you are building equity for yourself.
Real estate is not the only way that Americans find to grow their investments, though. Did you know that more than 50% of Americans invest in the stock market? Studies show, in fact, that maintaining a well-diversified portfolio of 25 to 30 stocks will yield the most cost-effective level of risk reduction. A combination of real estate investments and a stock portfolio can help you reach the financial goals that you have:
- According to a recent Better Homes and Gardens Real Estate survey, 89% of U.S. investors are interested in putting their money into real estate.
- Giving your stock portfolio a regular checkup is the advice that most experts give. At the very least, these experts advise that you check your asset allocation once a year or any time your financial situation significantly changes.
- One way to invest when your children are in college is to buy a home where they can stay and also charge rent to some of their friends.
- On campus housing can be very expensive, so affordable student housing off campus can be a very profitable investment.
- Doing research about local property values is important.
- Detailed arrangements with college age renters will help you protect the property.
- Estimates indicate that first-time investors accounted for 34% of the 2016 student housing transactions.
- Are you ready to diversify your investment portfolio and include property rentals?
- Long term leases can be very beneficial, but it is important to make sure that you do not rule out the short term renters like seasonal college students.