Of course, this is one of the types of small businesses that have a relatively high return and the same liquidity. In fact, the demand for such goods will always persist, as housing is part of the basic needs, along with nutrition, safety and the implementation of physiological needs.
The only obstacle to investing in mass-market real estate is the low financial education of the population. Without understanding the difference between assets and liabilities and not even realizing that real estate can become a passive source of income, many families continue to have money worries and live in a residential area whose price is close to one hundred thousand euros.
Another negative side of the domestic real estate market is the massive desire to get into this financial trap called a mortgage. What do you think happens to the family budget that has decided to buy apartments in the form of a mortgage? Rightly, for twenty years she has been in agonizing financial slavery, a feature of which is the regular cash payment and the total absence of rights to accommodation. The twenty best years of life are spent to endure an unbearable financial burden and to survive from the last forces, what kind of savings can a person think that is getting into a mortgage bog?
This category of people dream of such an investment.
But real estate can easily turn from a heavy burden to a source of passive income, whose signs are the lack of need to work regularly to invest your strength, time, and nerves.
This transformation is easy, just rent the apartments you live in today (or even a room for a students).
Never thought about it?
Even if your home is the only place where you can live, ALWAYS find a way out. If you simply trade this habitat for a smaller one, you will not be able to correct your financial situation if you get a round but fairly limited amount. Money is spent and only remorse and memories are left behind.
What can you do?
If you rent residential or commercial property, you can get a fairly stable residual income that can become the basis of your future financial independence.
The rent gives the tenant a guaranteed cash flow that does not require daily labor and time costs, which is a significant advantage of this business. Of course, investments are needed. Firstly, the property has to be bought, secondly it has to be repaired, thirdly it has to be kept in a decent condition. However, high liquidity guarantees a return that can be implemented at any time. It is enough to sell this property only to get back money. Unlike real estate investments, all other companies incur far more irrevocable costs associated with marketing, wages, transportation and leasing.
The fact is that such a job still requires money and time investment. First, the home must be given a marketable look that requires not only money, but also certain labor costs. Second, it is necessary to look for tenants and monitor from time to time how they handle leased real estate. Of course, the real estate investment business has its drawbacks. Buying real estate without a big startup capital is simply impossible. And if you do not have your own savings, it will take a long time to save. However, if the goal is set, you can move on it. Firstly, it is necessary to set a goal, for example, to create such a real estate fund, so that it brings a thousand euro monthly income. Second, to determine the ways to reach the goal, but not in the smallest detail, but essentially. Of course, there will be tests and obstacles, but you need to remember the goal and know that you are going there. And do you know why most people do not reach their cherished destination??
The secret is that the goal should not be changed.
Where do you come from if you change the main direction too often and shake from side to side? Yes, nowhere, protopchetes in one place and everything, life has passed, time is lost, powers are gone, regret is useless. Are you ready for this scenario? If not, choose the target before you leave. Do not worry, when you reach the first goal, you will have time to define a new mission, the time will be enough.