Why You Should Invest In Real Estate

Real estate ownership has long been connected with prestige, wealth, and credibility. It was the safest manner of securing one’s money, along with gold. As we progressed into the contemporary era, a plethora of new investment opportunities arose. Stocks, bonds, fixed deposits, mutual funds, digital currency, and cryptocurrency were among the alternatives available to investors. But, among all of these, Hilton Head real estate remains one of the safest and most rewarding paths for a long-term, profitable investment. 

Real estate is a need since everyone requires a place to live, and real estate investing solves this problem while also securing the future. This article will look at the advantages of real estate, as well as how and why it is seen as a good investment.

Charles Sampson Group of Charter One Realty is a real estate team that specializes in helping buyers find the perfect home while also providing sellers with a stress-free experience. We know Hilton Head Island and its surrounding areas inside and out! With over 30 years of combined experience, our experts will help you make your dream home a reality.

By putting down a small sum of money, you can invest in real estate. Let’s say you find a $100,000 home and put down $10,000; you should be able to secure a loan to cover the rest of the cost provided you have good credit and a consistent income. 

This means you can own a piece of property for as low as 10% of its value. Then, as you pay down your mortgage, you’ll be able to maintain a larger portion of your investment over time, increasing your rate of return not only by paying down the mortgage but also by taking advantage of natural real estate appreciation.

Real estate appreciates 3–5% a year without you doing anything but preserving it. Renovations or repairs can improve the pace of appreciation. If you want to boost the value of your property, work with a qualified appraiser or real estate agent to determine the best renovations. You won’t get a 100% return on your investment, but some improvements can yield up to 80%-90%. 

Renovations need not be major. Adding a room or finishing a basement adds more value than aesthetic updates, but even minor kitchen and bathroom updates can significantly increase a home’s value.

You can generate monthly cash flow from renting out your real estate if you buy and hold it, which boosts your earnings from owning real estate because you don’t solely depend on appreciation but also on the monthly rental income. Purchasing investment real estate, finding suitable renters, and managing the property may appear to be a tough task, but there are numerous resources available to assist you. 

The risk of renters skipping on their rent or abandoning the property early is always present, as is the risk associated with any investment decision. There can be no profit if there is no risk.

Investing in the market is risky. As 2020 demonstrated, anything may happen. You have a big investment one minute and lose it all the next. 

Long-term real estate investors know they have a rising asset. The value of a home fluctuates, but if you hold on long enough, it usually recovers. Many retirees invest in real estate to complement their funds. Renting a home when retiring can augment your income, or selling a property you’ve owned for many years can raise your retirement income. Some people prefer investing in real estate over keeping their money liquid in a bank account or trading on the stock market.

Passing real estate might be an excellent option if you want to leave a legacy but do not believe that moving cash is a wise choice. 

Your successors will not only inherit an asset that generates income, but they will also inherit an asset that is increasing in value over time. As a result, they have the option of either keeping the property and allowing the legacy to continue or selling it and profiting from the sale of their land.

Charles Sampson Group of Charter One Realty is a team of Hilton Head Real Estate  professionals with over 30 years combined experience in Hilton Head Island and Bluffton, South Carolina. We have been involved in purchasing and selling residential property, commercial properties, vacation rentals, and condominiums on Hilton Head Island for decades. Our agents are experts in identifying the best opportunities to suit your needs, whether you’re buying or selling. We know what homes will sell quickly and at the highest price possible because we’ve seen it happen time after time again.

Contact Charles Sampson Group of Charter One Realty at 843-384-7300 Today!

Charles Sampson Group of Charter One Realty
200 Merchant St
Hilton Head, SC 29926
843-384-7300