hat is the difference with your tax advisor and a
between rich and wealthy? knowledgeable real estate
The difference could be professional rather than taking
described as either working for a advice from an infomercial at one
living or your money working for o’clock in the morning.
your living. In other words, when
you are wealthy, your money works The problem most people face at
for you such as real estate retirement is that the cost of
property providing a cash flow so living has gone up faster than
you do not have to work an 8 to 5 the increase in their 401K.
job. That is being wealthy. Investment property can make a
huge difference at not only what
It stands to reason that the you can do when retired but also
purchase of a rental property when you can retire. Working an 8
today can make your retirement to 5 job generally does not allow
comfortable because the added you to save enough out of each
income is a positive cash flow. pay check to acquire real wealth.
Achieving financial wealth Even those high paid executives
through real estate investments can fall into a security trap
is long term, and can be risky if thinking their income is assured,
you don’t do your homework. so therefore their retirement is
assured. We don’t have to look
There are so many get rich quick any further than Enron or
scams out there, and some of them Worldcom to know that nothing is
are get rich quick using real totally assured in this life;
estate investments. Some of those which is why you need to take
infomercials are really so much control of your life and your
hot air. They have the right idea retirement.
but the wrong way to achieve it.
That is why it is crucial to work If you were to take $50,000 and
use it as a 10% down payment on a and you can expect an 8% to 10%
$500,000 investment property, increase on average. After 20
assuming: a breakeven cash flow years, you would realize $266,000
and not including any tax credits to $366,000.
or tax breaks, the value of the
property appreciating over 20 When you put it into perspective
years, the value of the property in a real life type of comparison
would be three times as much as like this, you can see that real
when first purchased. That means estate investment can provide a
that your initial investment of very lucrative retirement with
$50,000 has equity of over little or no risk to you. The
$1,400,000. added benefit is that you are
able to leave a nice legacy to
Take that same investment of your loved ones which is
$50,000 to a market fund or other priceless.
bond-type, non-risk investment,
About the Author:
Investment Property Coach Alex Anderson Connects Real Estate Investors With High-Quality Investment Properties. Get A Free Copy Of, "The Investor's Guide To Renting" at: http://www.GreatInvestmentProperty.com
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Alex Anderson
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