Real Estate - the second best investment

[Modee]

Over time, real estate is one of the best investments you can put your money into. Although once you figure interest, taxes, and maintenance, over time the stock market has proven to be a more sound investment, you cannot kock real estate as a viable source for your investment dollars.

[John14789]

Land Investments

Is land a good investment?

Like raw or resedential land?

[Modee]

As noted, real estate is the second best investment over time.

Buying land is a little more difficult though, because traditionally banks require much higher down payments (usually 50%) and charge higher rates for land loans. Once you own the land however, getting a construction loan isn't usually all that hard.

Keep in mind however - these days all loans are scrutinized very carefully and all income figures and tax returns are verified.

[execdecision99]

I personally do not like land because there is no cash inflow until you sell it, only cash outflow for taxes. Depends on the area I would guess but the lower the taxes in an area the lower the rate of appreciation of that land. I currently rent a condo in a very low income area, and I am considering working with Section 8 housing soon with a new property.