escription: Even in mid-19702 and the early 1980s.
uncertain economic times
like these, history shows The last downturn of the global
that real estate is one of the stock market resulted in millions
soundest investments a family can of investors who got their
make. Also remember that the fingers burned. Overnight, life
stock market is not the only savings were eaten away,
place where people can make their retirement funds went into
fortunes. And also, you'll hardly decline and the economic forecast
ever hear of real-estate for all of us who had any money
investors who've gone bankrupt, invested in stocks and shares was
unlike stock market investors. gloomy, to say the very least.
And as a direct result, investors
Even in uncertain economic times sought alternative asset classes
like these, history shows that to invest their hard earned money
real estate is one of the in. This has led to a global boom
soundest investments a family can in real estate markets and
make. During the Great Depression property prices, and has spawned
of the 1930s when the stock a generation of budding real
market plummeted as much as 89 estate investors.
percent, housing prices dropped
only 39 percent. So, according to However, the opportunities to
most of the research on housing make big, quick profits in
trends, prices continually stay residential real estate tend to
at the same level as, and most come and go. If the local market
often appreciate faster than the is hot, families might get to buy
rate of inflation. In fact, the and sell a house at a profit.
prices of houses actually but, if the market is not so hot,
increased by 10 percent during there are chances that you'll
the economic recessions of the have to hold on to the house for
a longer period of time before sure that there are no nasty
selling it or at least till the surprises on the way.
market turns.
More than Just an Investment
Tips for First-Time Real Estate Residential real estate is more
Buyers than just an investment. For
If you play well, you can be the example, if you purchase a
big winners in this current vacation home, it will not only
environment of boom. However, be a great deal when housing
it's important to draw up a good prices move upwards, but it can
budget to help you decide what also be a place for some great
you can afford. And, once you've vacations for your family and
determined a price and picked you.
your desired community, you can
shop around to find the best Also, there is another advantage.
house within your budget. The federal government believes
that home ownership is so
However, for those of you who're important to the future of our
still uncertain about how to go country that it has allowed
about it, there are five things mortgage interests to remain a
that might just help you close a substantial tax shelter for
great deal. While deciding on the families. So, homeowners are
house to invest in, never make allowed deductions on their
the mistake of assuming anything. property taxes. And, the profit
Instead get help from an expert on the sale of your home remains
if you've any doubts. Also, it's tax-free as long as you buy a
important to set a realistic house for a greater or equal
budget and stick to it. You also price.
need to consider every single
area of cost and payment to make So, before you decide that
residential real estate place where people can make their
investment is not exactly your fortunes. And also, you'll hardly
cup of tea, re-examine the ever hear of real-estate
financial benefits of owning your investors who've gone bankrupt,
own home. Also remember that the unlike stock market investors.
stock market is not the only
About the Author:
Naomi Warne of Around the Corner Real Estate Dealers, Sydney, has helped her clients with profitable property investments and numerous tax benefits. Having started as a Real Estate Agent, Naomi has established herself as an analyst and Property Consultant, Australia. http://www.mortgagemall.com.au
Source: www.isnare.com
