Resources Center
<div class=”et_pb_button_module_wrapper et_pb_module et_pb_button_alignment_center”><a class=”et_pb_button custom et_pb_custom_button_icon et_pb_button_0 et_pb_module et_pb_bg_layout_dark current” href=”/articles” data-icon=”i”>Articles</a><a class=”et_pb_button custom et_pb_custom_button_icon et_pb_button_1 et_pb_module et_pb_bg_layout_dark” href=”/faqs” data-icon=””>FAQs</a><a class=”et_pb_button custom et_pb_custom_button_icon et_pb_button_2 et_pb_module et_pb_bg_layout_dark” href=”/videos” data-icon=””>Videos</a> <a class=”et_pb_button custom et_pb_custom_button_icon et_pb_button_3 et_pb_module et_pb_bg_layout_dark” href=”/contact” data-icon=””>Contact</a> </div>
If you are like many investors, you are sick of hearing about problems that you can’t control but still negatively affect your portfolio.
What is going to happen in Greece?
Is Europe in need of a bailout and if so, are Americans going to front the bill?
Is Bank of America in dire need of capital?
All of these macro-economic trends that make the Dow suffer -500 point intraday swings can cause investors great headaches. It is possible to put your money to work for you so that you can go to bed without thinking that the Italian bond yield might breach 7% and trigger a bunch of high-frequency-trading robots to ruin your retirement fund.
Because of the recent volatility, many people that have never considered investing in real estate are now looking into single-family homes.
When you focus on the cash flow from rent, rather than appreciation of the property, you will build a portfolio that can spit out double-digit returns, without the headaches of volatility. Historically, rent prices are 10 times less volatile than home values. When you focus your investments on income production, it becomes possible to predict and control your financial future, rather than rely on speculative gambles of asset valuations.
Here are some terms and calculations that you will need to learn if you are interested in looking at single-family homes:
Let’s look at an example property and discuss some of the numbers.
As you can see, double-digit returns are possible without being exposed to risks that you cannot possibly calculate or control. While the stock market is the easiest way to invest, it is also a way to expose yourself to tremendous downside when things go wrong. Investing in reliable returns is much more advantageous for proper financial planning as you can predict within a much slimmer margin your expected outcome.
This example is strictly for educational purposes only. Any past performance of investments do not dictate future returns. Please consult with your financial advisor and your attorney before making any investments.