How Real Estate Pays Off
By Tonja Demoff | October 24, 2006 | No Comments |
Send to a friend:
Filed under: Home Buying, Real Estate Investing
Filed under: Home Buying, Real Estate Investing
You build wealth from real estate in at least four ways:
- The value of your property rises.
- You gradually pay off your mortgage loan and increasingly gain equity in your property (which is known as debt reduction).
- You can create passive income by renting your properties.
- Effective tax strategies protect your wealth.
Your real estate gains value in at least four ways:
- Prices rise in the real estate market.
- House renovations and neighborhood improvements add to a property’s value.
- When interest rates are lowered, debt is reduced. This happens faster with income properties as rents rise.
- When interest rates rise, rents go up.






