Is real estate investment profitable?

[Naz]

Real estate is one of the most popular investments for people to take part in.

Some people think that it can only be profitable if you are the one to manage it, but this is not always the case. There are many investors who have a significant amount of their portfolio in real estate. Investing in real estate is risky, but with proper research and planning, you can make a profit from it.

Investing in real estate can be a profitable activity. How profitable it is, is not a given as it varies depending on the location of the property, its condition, the price of the property and so forth.

Real estate investment may be subject to some risk, but this should not discourage someone from investing in the market. It is important to study these factors before you invest in order to be sure that you will make profits from your investment.

The investment is surely coming back with profit, even if the market crashes. However, there are a few risks that are associated with this investment.

Risks of investing in real estate:

- There can be a recession which will decrease the demand for housing and lead to fewer or no buyers

- It takes time to find suitable property - it can take weeks and months to find the perfect property for sale which would depend on one's natural instinct of finding deals and opportunities.

- There's also an issue of about how many houses there is currently in supply at any given time which could limit one's ability to actually buy a house

Investments make us better managers of our money. Having more cash on hand gives us a safety net and the potential for greater earnings in the future.

The key to successful real estate investment is to be mindful of your goals, know your market and be prepared for turbulence..

What do you think about this?

 

[eldavis]

Real estate investment is one of the most profitable investment out there, and it would continue to be so in the future. I would advise anyone looking for a long term investment to go into real estate. One major advantage of real estate is that it can even create a means of residual income.

 

[Setho]

The real estate industry is surely one of the most tricky investment opportunities that you have . You definitely need a handful amount of money before you can invest in anything significant in the industry . It is also not like other industries that can guarantee you to make thousands of Dollars within a very short period of time but you have to be patient .
This is why it is mostly regarded as a business opportunity for people who are rich because if you can predict a property that might become in demand in the future then that is it.
The real estate industry also provides a very good cover against inflation . We all know that there is a rising population in a lot of countries and as such there is a demand for houses as well as social . This is why it is very difficult for you to see a real estate property depreciating in value in terms of money even if it is reducing in terms of quality . The overall thing is that you should only invest in the real estate industry if you have a lot of money and understand that it is illiquid also .

 

[allison001]

Real estate investment is very much profitable , I believe it to be among the most profitable Investment that offers a very high return on investment on yearly basis or two depending on your decision and how long you want to invest . As long as this is in good condition , the value will always increases as the day goes by.

90% of people will prefer to invest in real estate if there is opportunity because they understand what they could make from this investment , but so many people are not able to invest because of lack of funds.

Well in general , the profitability of real estate investment will depend on so many things and one of the most important things that should be put into consideration will be the location , it will likely be more profitable if you invest in urban settlements. Or a location that is likely to develop in the future

 

[King bell]

Real estate investing can be a great way to build your wealth. However, it's important to do your research and understand the risks involved before you jump in.

There are two main ways to make money from investing in real estate: through appreciation, or by earning rental income.

Appreciation is when the value of your property goes up over time. This can happen for a number of reasons, such as if the local market is booming or if there's new development in the area.

Rental income is money you earn from renting out your property to tenants. This can be a great way to generate passive income, but it's important to remember that you'll be responsible for maintaining your property and dealing with tenants.

Before you invest in real estate, it's important to have a clear understanding of your goals and what you're willing to risk. Real estate investing can be a great way to build your wealth, but it's important to do your research and understand the risks involved.

 

[Shigobad2020]

Real estate business is one of the most lucrative business I have ever seen and it has been existing for a very long time, and its getting more popular nowadays , even people are now building hostels near the school campus which in turn is yielding more money for them everyday.

Before you start a real estate business, you must take the location into consideration because it will be a failed business If you decided to build an estate in a rural environment where nobody can afford to pay the rent or even build it in the city where there are no people in the environment that can afford it or its too far to their place of work .

Real estate business is a lifetime investment that will keep bringing money for you till you die if you are taking care of it very well and will also be a source of income to your children .

 

[Ithedicious]

I do not know about other people but to me I consider it to be among the most profitable investment . it is something that can generate passive income if done properly and also if the location is suitable.

Yes of course real estate investment is a profitable venture that can generate a lot of money do investors but the profitability in real estate business can be dependent on so many things most importantly the location.

Location is a serious factors of consideration when thinking of investing in real estate property because without proper location you can still make profit but the profit won't be much compared to a property being in a good industrial location.

The possibility of losing your money is low since the value of your asset increases almost of the daily basis, that is one of the reasons so many people are interested in this business.

 

[moonchild]

Real estate is profitable depending on different factors like

1 Location
2 Inflation
3 Affordability

Overall, real estate is an age long profitable business that have been existing for a very long time, there are different ways you can make an income with the business:

1) Rental income: If you own a rental property, you can collect monthly rent from tenants, which can provide a steady stream of income.

2) Appreciation: If you buy a property at a low price and then sell it at a higher price later, you can make a profit through appreciation.

3) Leverage: You can use leverage, such as a mortgage, to buy a property with a smaller down payment and then use the rental income to pay off the mortgage
It is advisable to seek knowledge on it by reading Robert kiyosaki books and consulting other real estate businesses in your local community to gain more insight on the business.

 

[cmoneyspinner]

Of course, real estate investment is profitable; provided your country does not have an employment crisis, a banking crisis, and a housing crisis all at the same time. My husband lost his real estate investment properties during this difficult economic period in America.

 

[Sotherefore]

Real estate is a profitable business and there are so many people who engage in real estate and are benefiting a lot from it. it is a situation that people buys property most especially in a location that is likely to develop in the future. When properties are bought in this location it is usually cheaper but as the value of such location increases and as industrialisation takes over the value of those property increases.

As such , people could sell out their properties with as much as 500 to 1,000 percent depending on the location.

So many people can also at the same time buy houses and this houses can be rented out for people to live in and profit will be generated every year or month depending on the arrangement that has been made by the landowner and the tenant.

Real estate is definitely a way of generating money and is profitable.

 

[cmoneyspinner]

For 2023, I am going to do research on REITs (Real Estate Investment Trust). "A real estate investment trust is a company that owns, and in most cases operates, income-producing real estate." (Per Wikipedia) REIT was actually an idea of one of our American presidents. He wanted a way for the average American citizen to own real estate. If you are a newbie and you want to learn more, Investopedia has all kinds of educational articles.

 

[Johnson2468]

Real estate is the world's most bankable investment for a variety of reasons. Not only is it a tangible asset that you can see and control, but it can also be a transgenerational investment that is passed down from one generation to the next. Once more, the majority of us still reap the benefits of our grandparents' real estate investment. But because of so many different factors and circumstances, many people have experienced a bitter-sweet experience. Not understanding if they are making a short-term or long-term investment is one of the biggest challenges faced by real estate investors. Many real estate investors are confused since long-term investments demand a longer time for your property to appreciate.Short-term investment requires less time and also keeps the real estate investor on a continuous cash flow. Long-term investment demands a longer length of time for your property to appreciate, which is the cause of confusion among many real estate investors.

 

[Mataracy]

You are right. Investment on real estate is very profit of one really knows how to go about it.
This requires good management if some one did not know much on how to manage property one may run at loss.
There are many ways in which one can manage it and succeed. One may collaborated with some people who really knows more than some one in the field and by so doing I believe one will make good profit from it.