Pa Bailey in the film “It’s a Wonderful Life” aptly expresses the concept of home ownership.
He says: “It is a fundamental urge. It’s deep in the race for a man to want his own roof and walls and space.” Unlike most other goods or services that financial assets are based on, real estate responds to an innate desire — the desire to have a piece of this earth one can call his own. This basic yearning is the driving force of the real estate market.
One of the beneficial features of real estate is that it produces relatively consistent total returns that are a hybrid of income and capital growth. It pays a regular, steady income stream and a stock-like component in that its value has a propensity to fluctuate – to go up more often than it goes down!
There is also that holistic way of looking at housing: as an investment that holds its value as inflation rises, and whose dividends—a home office, kids playing in the backyard, school bus around the corner—pay out big, however non financially.
Real estate is unique as compared to other investment alternatives because:
Investing in a rental property will provide a steady cash flow. This is much different from gold because gold is considered dead weight. An investment in real estate will provide a constant flow of cash coming in whereas gold does not bring in a steady income.
To invest wisely, and to invest in high appreciation value homes, contact Provident Housing, the pioneers that cater to the premium affordable housing segment which basically targets first time home buyers. With well designed spacious homes and value for money amenities, you can become the proud owner of your ideal home.