The watchword for good financial health is portfolio diversification. Whether it's for your retirement, to increase your credit in order to acquire a property, or to build wealth, real estate investment is an interesting investment.
Investments with variable stability
There are several types of real estate investments. Depending on your return objectives, you can choose between different types of real estate investments. For a regular return, the options are: investing in rental properties, trusts, mutual funds, or ETFs. If you're more interested in a one-time and higher return, there's also real estate flipping or RELP.
Investing in a safe investment
Real estate still holds a significant place in the economy. This purchase is tangible and will last over time. Even if markets and interest rates fluctuate, the real estate market remains relatively stable. There is always demand, as real estate fulfills an essential need: housing. In the long term, real estate value tends to grow cyclically. It's a low-risk investment for those who wish to avoid economic stress.
To establish a patrimony
Betting on real estate is a good strategy regardless of your project: becoming a homeowner for the first time, buying bigger, investing to 1 rent... As access to property is difficult, investing in real estate, in addition to an RRSP, is an effective way to build a down payment. However, you must have time to manage these investments. Unlike a stock market investment, real estate investment is a physical asset. Of course, it is tangible and can be considered more stable, depending on market fluctuations, but it also requires time and energy for maintenance and tenant management.
Boost your retirement
Housing costs occupy a significant place in a family's budget. Being a full homeowner, meaning having finished repaying your mortgage by the time you retire, allows you to no longer have to pay rent or repay a loan.
