Whether you're a first-time or an experienced investor, planning for the future is becoming mandatory. While we've previously shared with you some initial insights on how Bricksave can help you save for retirement, we thought you might want to consider 3 additional reasons why real estate investment is today more than ever a meaningful strategy for retiring with confidence
What real estate provides over other forms of investment is more stability in the form of a tangible asset – the physical bricks and mortar. Stocks and shares fluctuate daily, the control of which is mostly out of the hands of investors; meanwhile, investing for equity in start-ups is far too reliant on the success or failure of the individuals involved in that business – and as we all know, people can be unreliable. Property, on the other hand, is not subject to these same variables. Real estate provides a safe harbor for your money, offering more security in turbulent times.
Real estate also offers longevity, something that is extremely valuable in a market prone to volatility. It is the kind of investment that needs to be left to grow over time in order to gather returns and provide long-term gains. Combine this with the relatively low-risk nature of property and you have a solid platform to amass capital for your retirement without having to trade on a daily basis.
With rental returns, you are not only gaining capital when your real estate investment property is sold but from day one you start to accumulate returns. These returns can either be used as an additional cash flow for individuals or, in terms of a retirement savings plan, can become the beginning of a compound interest saving strategy. Continue to re-invest the rental returns into other properties and you will begin to reach your savings goals even faster.
People can now use online platforms such as Bricksave to put smaller amounts of money into properties across the world and benefit from investing in one of the world's leading asset classes. This means that even those with more modest sums of money can invest in a safe place, and thus increase their potential for returns on the investment and building their retirement funds. The aim is to provide the widest possible demographic with the chance to profit from the natural stability of real estate as a tangible asset; this is in stark contrast to the old version of real estate investment, which was strictly reserved to high-net-worth individuals only.
Sofía Gancedo, the Argentinean who founded a real estate crowfunding platform and is going for a US$ 100 million megafund.
The system uses an algorithm of 3,000 data points, which looks for investment opportunities where there may be appreciation. "Each property has an estimated annual rental return of between 7% …