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Understanding Home Ownership - The Beginning

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  1. Module 1: Understanding Mindset
    9 Lessons
    |
    1 Quiz
  2. Module 2: Understanding What you want your money to do for you?
    6 Lessons
    |
    1 Quiz
  3. Module 3: Understanding The Types of Real Estate Investments
    7 Lessons
    |
    1 Quiz
  4. Module 4: Understanding The Resources
    11 Lessons
    |
    1 Quiz
  5. Module 5: Understanding The Finance
    15 Lessons
    |
    1 Quiz
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FOUR REASONS TO INVEST IN REAL ESTATE

  1. Build Your Fortune
  2. It’s Real
  3. Limited Supply
  4. More Control

1: Build Your Fortune

There are four key reasons to invest in real estate, and one potential disadvantage. That drawback is limited liquidity, which means you can’t transform your investment into cash immediately (and sometimes not for an extremely long time). While that’s true about direct real estate investing (buying a property to rent, hold, or flip), there are many ways to invest in real estate that eliminate that issue and still offer you all of the plusses of this resilient asset class.

2: It’s Real

Unlike the most popular investments—stocks, bonds, and mutual funds—real estate is tangible. You can see it, touch it, and stand on it. It’s not an idea like bit coin or stock options, and it doesn’t exist only on a financial statement or an exchange: it’s real. That means you have something of value even if the current market value falls to zero, unlike a stock or bond that would be worthless in a crash.

3: Limited Supply

There’s a finite amount of usable land in the world, a limited supply. People need places to live and work, and as the population continues to grow, the demand for space grows right along with it. On top of that, we need land to produce food and deliver natural resources, from timber to oil to the elements that power our laptops.

4: More Control

When you own real property, you have more control over your investment than if you owned stock (a small portion of a company) or other paper-based assets. For example, you can do things to make your property more valuable, like spring for a new roof. You can affect the income by catering to more financially solid tenants and raising the rent. The flip side of that is your investment requires more active management. You have to maintain and repair it, or pay someone else to do so.