Rental
REAL ESTATE ROI 4 WAYS
You can invest in the stock market or in Crypto, but there is no other asset class that will provide you the same return on investment as rental real estate
1. CASH FLOW You earn a monthly income from the rental property, you have monthly expenses, the difference is your Cash Flow. The closed you can come to this with Stocks or Crypto would be dividends.
2. APPRECIATION Historically real estate appreciates in value every year. With stocks or crypto, it can go up in value or it could go down in value. The historical rate in the KC area is 8%.
3. PRINCIPLE REDUCTION With rental real estate you can make a 20% down payment on the asset and a bank will lend you the rest, try doing that with stocks or crypto. Then someone else makes the payments, your renter pays down your debt.
4. TAX REDUCTION Because rental income is considered passive it is taxed differently. Plus rental real estate gets the added benefit of depreciation, to further reduce your taxes. One way to acquire rental real estate is to Build it to Rent. Dave Lundgren is joining us at MAREI in September to share what it takes to Build to Rent. The above is adapted from one of Dave's Facebook Posts.
Dave Lundren
Dave along with Warren Buffet thinks Rental Real Estate is a good alternative to Stocks or Crypto. (Watch Dave on YouTube Now)
