Billionaire Andrew Carnegie famously said that 90% of millionaires got their wealth by investing in properties.
Property Investment is a fantastic investment opportunity for so many reasons. When done correctly, it is one of the most profitable investments with huge potential for success and can lead to a future of financial freedom.
We want to share with you the 10 good reasons why you should invest in property!
1. You can build up your assets – We don’t get taught the difference between assets and liabilities in school. An asset i.e in this case, a cash flowing property, puts money in your pocket. A liability takes money out of your pocket
2. Demand and Supply: There is an ever increasing demand for good and quality homes for people to live in. The statistics show that there is a significant shortfall in the government's plan for building new social housing. This means investing in the private rental market would be supporting this need.
3. Lucrative returns – Interest rates are at an all time low. This means that money you have in your bank account is literally losing value in there. With property, the value will go up over time. You just have to read the cycles and buy low and hold/ sell high.
4. Retirement Plan – According to which? On average in order to maintain a high standard of living you need to earn £42000 gross income a year. The right property investment will ensure you have a regular income even after retirement. This can be from monthly rental income or profit from sale of property that has appreciated in value.
5. Passive income – The right property investment generates income for you without you having to do anything. You are free to do and enjoy the things that you want in life whether it's spending more time with family or following your passion.
6. Tax Advantages – There are numerous tax breaks and deductions that can save you money. Speak to your accountant.
7. Renewable source of capital – Using a standard Buy/refurbish/refinance model as an example you can recycle your money to ensure it keeps growing and working for you.
8. Variety – There are so many different property strategies to suit your needs.
9. Less risky than shares – As long as you do your numbers correctly , you can significantly reduce your risk.
10. Legacy – Knowing that your loved ones for generations to come will continue to benefit from your investment even after you are gone is much better than leaving an inheritance.
We at DNC Property Investments Ltd would love to answer any questions and help you take advantage of investing in property now!