Why Real Estate?
Why Real Estate? Introduction Real estate has been the go-to investment for generations because it provides a number of benefits that most other investments can't match. It’s not just about depreciation, appreciation, and tax sheltering anymore; today you can also leverage your real estate investments with debt financing. Here are some reasons why real estate is still a solid choice: Depreciation, Appreciation, Tax Shelter, Leverage, Debt Here are some of the reasons why real estate is a great investment. Real estate depreciation: You can deduct the cost of the asset over its useful life. For example, if you buy an apartment building for $1 million and sell it five years later for $1.5 million, you will be able to deduct $200,000 as an expense each year over that five-year period. Appreciation: As long as there's no recession (and we don’t believe in those anymore), your investment should appreciate in value, too—so you'll get capital gains when you sell it (or rent out s...