Advantages of Real Estate Investing

Posted On Aug 10 2017 by

Investing in real estate is as valuable and as attractive as investing in the stock market. I would say it’s three times more chances of creating money than any other business.

Since, it’s equally guided by the market forces; you cannot undermine the constant risks involved with the actual estate. Let me start discussing with you the advantages of real estate investments.


Real Estate Investments are Less Risky

  • Real estate singapore are traditionally considered a stable and wealthy gainer, provided if one takes it seriously and with full sagacity.
  • The factors for the real estate investments becoming less risky adventure primarily relate to various socio-economic aspects, location, market behavior, the population density of an area; mortgage interest rate equilibrium; great history of land appreciation, less of inflation and many more.
  • As a guideline, if you have a geographical area where there are loads of resources available and low stable mortgage rates, you have good reason for investing in the real estate market of this region. On the contrary, if you’ve got the condominium in a location, which is burgeoning under the high inflation, it is far-fetched to even consider investing in its real estate market.

No Need for various Starting Capital

  • A real estate property in Canada can be procured for an initial amount as low as $8,000 to $ 15,000, and the remaining amount can be obtained on holding the property as collateral. This is what you call High Ratio Financing. If you don’t have the idea as to how it works, then let me explain you with the support of an example. Remember that saying… Examples are better than percepts! If you want more additional Information regarding Alex residences¬†visit great websites¬†
  • Supposing, you purchase a condo worth $200,000, then you’ve got to just pay the initial capital amount say 10 percent of $200,000. The remaining amount (that is 90%) can be financed, contrary to your condo. It means that in a High Yield funding, the ratio between the debt (here if it’s 90% Mortgage) and the equity (here in the example it’s 10 percent down payment) is very high.
  • It is also important to compute high ratio mortgage insurance with the support of Canada Mortgage and Housing Corporation (CMHC). If needed, you may also buy the condo on 100% mortgage cost.

Investment Skills

A property investment, especially once you buy a condominium for your self, will be a pleasurable learning experience. It gives you the opportunity to learn and when I went forward with my first real estate property, I was totally a ditch man. Ask me now, and I will tell you everything, from A to Z.

Last Updated on: August 10th, 2017 at 9:11 am, by Katherine K. Vaca

Written by Katherine K. Vaca

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