Three good reasons to invest in long-term residential real estate

Looking for a solid long-term investment channel? Investing in residential real estate may well suit you

There are those whose luck has improved on them, And have a good salary that allows them to save and accumulate capital that are looking to invest in long-term. Capital to serve as a pension reserve. Others were perhaps some inheritance or lottery, And everyone is looking for, what to do with money '.

The current situation in, Because of fluctuations in the world market, Because of the low returns in many investment channels and because of regulation that changes news every morning, Residential real estate investments Seen today as a stable option, Solid and almost one hundred percent safe.

why?

Increase in property value

The increase in population and life expectancy ensure that the use of land reserves in Israel will only increase in future generations.

In such a situation, There will always be a demand for residential real estate, Whether for purchase or for rent.

Improving public transportation and investing in infrastructure, Slow as they may be, Still ensures the migration of populations to the periphery and an increase in the need for living space there as well.

• In this state of affairs, Where the demand for apartments is only rising, There is no reason to value residential real estate, Like houses and apartments, Will not continue to rise.

What is, In this matter one must be careful:

• Buying residential real estate requires a good examination and predictability regarding demand in certain residential areas.
• Buying a property for investment in a neighborhood that today looks bad or is not attractive because, Suppose, High crime rates, Still necessarily carries a risk. There is no guarantee that things will change, And even the opposite: experience shows that the process of deterioration of many neighborhoods is often very fast, And it takes a long time for them to recover, If any.

Fixed return on the property by renting it

Those who are looking for not just a long-term return, But also some repayment in the short term, Or an option to finance the investment, Renting residential real estate can be an excellent solution.

The residential rental market is also on the rise, And unfortunately, As the standard of living decreases, Apartments for rent are becoming more and more in demand.

Two points that must be taken into account:

• In this area, there have been various calls for regulation in recent years, Such as a third apartment tax or a supervised rent, but anyway, There are not many properties that guarantee an immediate return like real estate leased for residence.
• Renting a residential property requires an investment in property management and maintenance. Tenants do not always vacate the property in good condition, And the landlord must repair immediate damage and wear and tear. These should be taken into account when calculating the return on the property.

The increase in population and life expectancy ensure that the use of land reserves in Israel will only increase in future generations

It might seem a little strange to you, Especially if you live in a large and spacious house. Why would you want to move into a two and a half room apartment, Precisely when you retire?

• This is not strange, Believe it or not: today you see a lot of retirees returning to the big city or to other city centers.

The children left the nest, The needs are smaller and the proximity to the center of things, For cultural and event centers only doing better.

Many retired couples are selling or renting out their large home, Return to the big city and enjoy it for many years, Lacking financial worries.