The power of real estate in diverse investment portfolios

You guys have often heard me say that we go where the money goes. Currently, the money is flowing into real estate. This signifies that it is an opportune time to leverage real estate investment, and I will be discussing it extensively. Given the prevailing conditions, it is essential to consider including real estate in our investment portfolios.We live in a world with high-interest rates, accompanied by persistent inflation. In the stock market, we have not witnessed the same level of activity as we did last year. Many companies are feeling the strain of this environment characterized by high inflation and interest rates. As investors, we must be astute when confronted with such circumstances. We need to adapt and shift our focus towards asset classes that thrive in this type of environment.When contemplating wealth, it is crucial to adopt a holistic perspective. Wealth encompasses more than merely investing in the stock market or unit trusts. It involves a comprehensive system that encompasses our mindset, daily habits, and utilising money to generate more money—leveraging our resources. Real estate stands as one of the most advantageous assets for leveraging. It presents an opportunity to utilize other people’s money, which is often the most favourable form of capital. Real estate offers an excellent avenue for implementing leverage in our wealth-building endeavours.For instance, as a real estate investor, you can employ leverage by utilizing a mortgage loan to acquire a rental property with the aim of generating rental income surpassing the mortgage payments. In this scenario, the property serves as collateral for borrowing funds, with the expectation that the rental income will yield profits and aid in repaying the loan over time. The objective is to generate a higher return on investment from the funds borrowed than the cost of borrowing itself.For those who already possess real estate, it is worth considering expanding your portfolio. I want everyone to grasp the significance of real estate investing at this time. Whether you choose to purchase properties directly or invest indirectly through real estate investment trusts (REITs), it is crucial to contemplate how you can enhance the presence of real estate in your overall investment portfolio.Stay tuned because I will be discussing this lucrative investment opportunity extensively. However, for now, it is crucial to understand that we are following the flow of money, and currently, the money is flowing into real estate.Keep an eye out for more information and strategies regarding real estate investment, as I aim to empower everyone to elevate their wealth game. At present, real estate stands as a highly appealing asset class, capable of accelerating your wealth journey. Consider entering the real estate market, as sometimes the most fruitful place to invest your money is in tangible property.Have you contemplated investing in real estate? Are you already involved in real estate investment? If this article resonates with you, feel free to share your thoughts in the comments. I would love to hear from you.Keisha Bailey is an experienced investment strategist who teaches people how to earn passive income, create wealth, reclaim time and reach financial freedom by investing. She works with investors to create highly profitable portfolios so that they can build wealth faster. If you are looking to learn how to level up your money, she can be reached at [email protected]

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