Why Choose Real Estate
Real Estate vs. Other Markets
- Real Estate: Less volatile than stocks, especially during economic downturns. Income from tenants and borrowers provides consistent cash flow.
- Stock Market: Highly susceptible to market volatility and economic fluctuations.
20%
Average REI returns *
7%
Average Inflation-Adjusted S&P 500 Returns
- Real Estate: Multiple tax advantages including depreciation, mortgage interest deductions, and capital gains tax benefits.
- Stocks & Bonds: Limited tax benefits, generally confined to certain retirement accounts.
- Real Estate: Natural hedge against inflation as property values and rents typically increase over time.
- Fixed Income: Subject to erosion of real value during inflationary periods.