Reasons to invest into a real estate investment Trust (REIT)

Reasons why you should invest in real estate investment trust (REIT)

Appreciation: Over time, property values increase, providing long term capital growth, while markets can fluctuate, real estate generally appreciates due to inflation and demand.

Cash flow: Rental properties generate consistent cash flow. After covering mortgage payments, taxes, and other other expenses, the rental income provides a steady source of passive income.

Tax benefits: Real estate investors often benefit from tax deductions, such as those for mortgage interest, property taxes and depreciation. These help to reduce taxable income.

Leverage: Real estate allows you to use leverage, meaning you can borrow money to acquire properties. This enables to control a more significant asset with a smaller initial investment.

Diversification: Adding real estate to your investment portfolio can diversify risk. Real estate often moves independently of the stock market, so it can provide stability when other asset classes are volatile.

Inflation hedge: Real estate often serves as a hedge against inflation. As the cost of living increases, so do property values and rents, helping investors maintain purchasing power.

Tangible asset: Unlike stocks or bonds, real estate is a physical asset. This provides a sense of security for investors, as they own something with intrinsic value.

Lower investment threshold: Compared to purchasing physical real estate, REITs allow investors to participate in the real estate market with much smaller initial investment.

Potential for forced appreciation: Real estate investors can increase property value by making improvements and renovations, thereby forcing appreciation rather than relying on market conditions alone.

Easy to start: You don't need to buy or manage a property yourself. In real estate you invest without dealing with tenants, maintenance, or property management. You can invest by simply buying tokens through the stock market.

At AJABX CONSULT COMPANY we make real estate an appealing investment for those looking to grow wealth, generate passive income, or protect themselves from economic fluctuations.