Real Estate investment may not be as risky as you think! I know, it's a weird thought for some risk averse people, but it is a healthy way to increase your net-worth without risking it!
With interest rates below 5% it is the perfect time to lock in a long-term mortgage on a revenue property. A revenue property that will provide you with revenue and the benefits of a strong real estate market.
But what are the benefits of this market? And how strong is it?
Let me illistrate with numbers to elucidate these questions!
The average sale price of a residential real estate in Saskatoon in 2009 was $278,153.00; modest compared to 2013's average of $344,973.00. In four short years we have seen an increase of 24.02%; for a rolling average of 6%/year. Keeping in mind that most of these investments are leveraged by debt and people are seeing a much larger return on investment.
I've found a chart that may help you simplify your future investments!
The risk-averse individuals have been saying that our market must be culminating due to its consistant progress, but the reveal of Saskatchewan's budget prioritizing our housing industry displays the government's antithetical approach to this culmination rumor! The governments efforts encourages sustainable real estate growth in years to come. Growth, that you as a individual should take advantage of!
If real estate investment does interest you, I'd love to go for coffee or lunch with you! Spencer Chilliak, B.COMM - Finance, Registered Real Estate Professional