5 reasons why everyone is still investing in property
Despite rumours saying that the property market will experience a downfall, people still choose to invest in real estate. Here are some of the reasons why property investment is still a popular investment regardless of age.
A material asset
When it comes to investment, it is always nice to see something there after paying good money for it. No other investment gives the same satisfaction and pride than owning a piece of real estate. A tangible asset also gives you a sense of security and feels safer than other investments where you have to leave it to the hands of consultants to tell you what is going on. At the end of the day, you know that your investment is going into brick and mortar instead of something that can’t be seen or touched.
Easy to understand
Compared to many investments such as stocks and bonds, investing in real estate is much easier to understand. It is also less erratic and easier to get into since investing in property is just like buying something. To most people, it feels less risky since the process is simple, and looking at past experiences of others, it is easier to believe that eventually the investment will pay off in the future.
Easy to get started
It is not as if you don’t need any knowledge to invest in real estate; knowing the ropes is important as well so that you make calculated decisions. However, you don’t need to be a specialist in real estate to be a property investor. In fact, with research alone – whether online or by going on-site, you are able to narrow down your choices and start making your investment plans.
Something for everyone
Whether you have a large budget or looking at something on the cheaper side, there is always something out there for you. Despite talks of properties skyrocketing in price, it really depends on where you look. Of course prime areas will come with a higher price tag, but if you look at new developments in upcoming suburbs, you can always find a property that suits your requirement in both budget and risks.
Property investment is a lot more stable compared to other forms of investment, probably due to the fact a lot of legwork has to be done before you are able to invest in a piece of property. Your bank balance, credit scores, settlement period, and other government-controlled rules make it harder for people to make this into a game of short-term investments that might cause the market to fluctuate erratically. You can’t just buy and sell at whim; there are lots of effort required to purchase real estate, so you would have to think and plan ahead before doing it. This goes for every real estate investor as well, and with the extra interest the government makes you pay if you sell the property too quickly, the property market won’t be as volatile as the share market.