Now is a better time than ever to jump into the real estate game. Owning property can come with a plethora of benefits, from financial freedom to smart investments. There are many opportunities out there for people who are looking to own another piece of real estate. If you are unsure about buying another house or building, consider these important reasons to invest in real estate.
Low Interest Rates
The interest rate for mortgages hit an all-time low several years back. Many people went and purchased homes while borrowing money against their new equity. With the downturn of the economy, more and more people are starting to lose their homes. Avoid making this mistake. Use the now lowered interest rates on mortgages to make smart investments in the housing market.
Financial Control
Owning real estate means more financial control. Many people buy homes only to turn around and rent them out for a hefty rental fee. Tenants often prefer to rent from a private landlord in comparison to a property management company. This provides you with plenty of opportunities to make money as your tenant lives in your house.
Stability
There’s no arguing that real estate investment is less volatile than investing in the stock market. While you may need to wait longer to reap the benefits of real estate investment, the prices are not as inconsistent as those you would normally find when dealing with stocks. Therefore, people often consider stability as a major benefit when shopping for real estate in Ames.
Tax Advantages
There are many tax advantages that come with investing in real estate in Ames. These include capital gains rate, depreciation and deferred exchanges. Depreciation can be used as a business expense, adding value to an asset and with the houses themselves. Capital gains come from the profit you make after selling an asset, such as after selling a rental property. If you are unsure about what tax advantages are available to you, consult with your tax specialist.
Considerations
Finding the right real estate agent can make all the difference when trying to buy and sell homes. Real estate agents have the power to negotiate with sellers to get you the best prices possible on buildings in your area. They are also in tune with what’s going on within the housing market. This information is important as you use real estate as part of your investment plan.
Based in Ames, Iowa, Realty is a quality real estate agency providing customers with local apartments and homes. View listings and discover other helpful information by visiting their website.
