Why property investment?

THE BENEFITS OF PROPERTY INVESTMENT

Property investment has a number of advantages over more conventional forms of investment, some of which it shares with land investment. Yet it is important to invest in property for the right reason.

Investing in property is probably the largest financial decision and commitment any individual is likely to undertake in their lifetime. Yet it is also probably one of the most rewarding investment decisions you can make, both personally and financially. Due to the magnitude of the investment decision, property investment also has the ability to set a number of other apsects of an investor's life in order. The gains that can be made are so large that an effective property investment can overcome almost any financial insecurities an individual investor may have.

Although property investment has become a great deal more accessible and common, if the statistics are to be believed, many people in this country still live as tenants in rented accomodation. Although there is some variety of opinion on the issue of renting being so-called "dead money", the fact remains that renting a property means you will not actually be seeing any return on the money you pay to the lettings agent. True, renting does provide financial flexibility and shelter the tenant from virtually all of the kind of financial liabilities the property owner has to deal with from time to time, it is not ultimately going to make you any money. In fact, when you consider that rent is periodically increased by landlords, it will probably end up costing you money in the long run.

Of course, property investment does not operate in a vacuum, but is part of the wider economic climate. Investors already know that the stock market has performed relatively poorly over the past four years.