Ways To Use Real Estate As A Retirement Investment
Real estate as a retirement investment is often overlooked. If you watch enough late-night television, listen to the radio, scroll Facebook, or watch videos on YouTube, I’m sure you have seen an advertisement or infomercial about one of the “easiest” ways to accumulate wealth using other people’s money.
The most common method is to own rental properties. One of the first steps is identifying what type of real estate owner or landlord you want to be.
Becoming A Successful Real Estate Investor
Another type of landlord is the individual who looks at owning a rental property strictly as an investment. This landlord will generally buy properties at a discounted value and then rent them out for a profit.
Rentals As Investments
Real Estate Investment Myths
Many marketed real estate systems will highlight purchasing properties using other people’s money. Typically, this “other person(s)” is a mortgage company, and the loans are secured using your credit line.
The third type of rental property is used for short term rentals. These are generally located in tourist and vacation areas.
Short Term Rentals
Keep Cash As Leverage
Whether you own your rental property free and clear or still have a mortgage, it is vitally important to have access to capital for unforeseen expenses, or real estate investing is only not going to work long-term for you.
Leveraging Life Insurance As An Investment For Real Estate
This next statement might sound odd initially. However, an often-underutilized method of accumulating and leveraging capital uses the cash value component of a whole life insurance policy.
Diversifying Risk With Life Insurance – For A Goal Of Purchasing Real Estate
While being more involved in the initial setup than standard savings accounts, a high cash value policy also offers several unique advantages you cannot find in any other financial vehicle. The cash value growth rate or interest is often significantly higher than a standard or high yield savings account.
Swipe up now to read the full post!