Is it worth investing in real estate? This question seems absolutely legitimate, given the many voices, of various levels of authority, which scramble to advise us on what to do with our savings every day and propose different types of investments in each sector.
Investing in real estate, on the other hand, is one of the most consolidated traditions among savers. Together with classic government bonds and the purchase of houses to make an investment, it is a plan that many can take into serious consideration.
Getting Into the Details
The answer to this question, however, is not simple. Firstly, investing in real estate can be an excellent source of income if it is done wisely and preliminary planning has been carried out beforehand. To understand how to invest our savings in real estate, we must first ask ourselves what the objectives we want to achieve with the investments are. Then we should find and analyze the information that allows us to achieve this goal.
A perfect firm comes up with the most convenient options for property fractional ownership while handling properties over different countries simultaneously. A reputable property investment firm allows you have the best deals in investing properties from locations around the world.
You can search for the properties on their online platform and come up with the investment solutions accordingly. Also, you can have a well-trained investment manager by your side throughout the whole process.
What we want to achieve from a real estate investment
One of the most rooted and widespread beliefs in our country, and beyond, is that buying a house to make an investment basically means securing your money against market fluctuations. In other words, many think that having “invested in the brick” simply constitutes the guarantee of being able to regain, when necessary, their capital – practically unchanged.
However, the considerable fluctuations that affect the real estate market in a conspicuous way contradict this widespread belief. This is especially so in recent years, in fact, given the significant increase in mobility within the country and the rise of new social needs. These social needs have led to a notable increase in singles and small families, compared to larger families, especially in the North and Center. This change om family structure has made the housing market unusually unstable.
- The medium-large apartment, situated in a prestigious residential area, had a high value until a few years ago. Now, it is difficult to resell, especially due to the scarcity of families who need such a considerable amount of space. The smaller property, on the other hand, becomes very easy to place for both sales and for rent – even the studio apartment. These smaller properties are more popular and suitable for singles or couples without children.
- In addition, some popular areas have undergone a gentrification process that has turned them into areas inhabited by high-income people who have renovated old properties purchased at low prices. Often with excellent results, this has formed apartments of charm and fair value. On the other hand, the properties of small municipalities in the hinterland of large cities have also seen a significant increase in value. This is mainly due to many families making the decision to raise their children in smaller urban contexts.
These considerations lead us to conclude that the best real estate investment is not the one which we hope to obtain the maintenance of the capital at the starting level. Rather, it is the one from which we can expect to obtain a guaranteed income over time.