4 Reasons Why Real Estate is a Good Investment

The following are a number of reasons why realestate is a good investment:

1. The Australian residential market has grown by an average of 8.5% pa over the past 50 years (Australian Real Estate Institute), which means that the average property is set to double in value around every seven to 10 years ?this trend is long established.

2. Real estate values are less volatile than share prices. It is not true that property prices are always stable, they fluctuate constantly, but the volatility is less sudden and usually takes place within a narrower range.

3. Buying real estate is automatically a disciplined long-term process. You can buy just one share, but you can't buy just a bathroom or only a bedroom. You have to buy the whole house and that means a mortgage and a long-term commitment - and time is usually one of the essential ingredients of a successful investment.

4. Property is a familiar investment. Almost all high net worth individuals are home owners and know the ropes when it comes to comparing property values in a particular suburb , negotiating loans and dealing with real estate agents.

"It's tangible, it's solid, it's beautiful. It's artistic, from my standpoint, and I just love real estate". - Donald Trump

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