One of my friends posted on facebook quite recently that he had just bought a house and thought it was a really good investment. Well, let’s be honest when you are buying a house its a bad investment.
Many people believe that homeownership equates to being wealthy, however, this statement is not true. In actual fact, you are financially actually better off renting a property, moving into the stock market, and broadening your portfolio with alternatives such as forestry investments.
In this scenario, if anything unfortunate was to happen where you become financially restricted and need to liquidate, you can do very easily!
First of all, renting is often cheaper than buying a house. For some reason, there’s disagreement about this, but renting is clearly cheaper in the long run.
When purchasing a property for let say $300,000, over the course of the mortgage, with interest payments among other things, the asset will actually cost you nearer to $600,000. Why not gain those interest payments over that period of time instead of paying them to a lender?
Renters also save a lot of money by not having to pay things like association fees, property taxes, and let’s not forget things that can be broken in a household like roofing, crack in the foundations etc. When this happens if you are renting as long as you haven’t committed the damage and its wear and tear the landlord is responsible for the damage.
Houses do appreciate in value, but not as fast as the stock market.
Between 1970 and 2003, home prices rose by an average of 6.7%. That’s brilliant until you then realize that the average size of a house nearly tripled during that time. Then u take inflation and that’s the reason for the increase.
Here at EcoCrops International, you can invest into forestry on a 99-year lease with a fully insured investment. Asset-backed and we are looking at a 17% return.
For more information contact us on www.ecocropsinternational.com
Company Name: EcoCrops International
Contact Person: James Grainer
Email: Send Email
Phone: +34 932 201 207
Address:Rambla de Catalunya, 38, 8ª planta
State: Catalunya 08007