3 Advantages of Investing in Property

Advantages

Why would you not want to invest in property? That is probably the more appropriate question. There are numerous advantages of investing in property. In a nutshell though:

Number 1

Property provides a solid investment as property should (done correctly) enable a positive cashflow per month which would mean that you have invested in a positive cash-flowing asset

Number 2

If you were to work out the gross yield and the net return on investment (NET ROI) then you will more than likely find that the rates would be higher than having money sitting in the bank.

Number 3

When inflation is higher than the interest rate, then your money that is sitting in the bank is effectively eroding away. Why would you let this happen to you? Why would you let this happen to your money? Your savings that you have worked hard for will, over time, be eroded away naturally and your purchasing power will decrease over time. So many people do not realise this.

For example, if you have a gross yield on a property that is 10% per annum and inflation is 2.5% per annum then you are technically earning 7.5% per annum.

You may as well get your money working for you rather than you working for your money. This key concept alone has helped many with the property investor mindset shift.