Sep
29
Andrew Hudson
Most people don’t think they can own gold bullion, but they would be wrong. With the tough economy that everyone is facing today, investing in gold seems like a good idea. But how do you get started? Can anyone do it?
The answer is YES! Gold is a great investment when the economy is doing poorly. Gold prices tend to increase when the economy is unstable. Just remember that gold bullion is a long-term investment. Gold has an intrinsic value that most paper currencies cannot compete with over the long run. Currencies are subject to inflation more than gold bullion. The best way to protect your money is to keep money in gold.
Now that you have decided to do some gold investing, you should understand that gold is a physical commodity and unlike paper money has value even if the stock market collapses. You can buy gold bullion coins and/or bars. The bullion usually comes in one oz increments and is usually approaching 100% pure. Many companies on the Internet can help you to choose which type of gold bullion to buy and can do it for you for a very nominal charge.
Different countries offer different gold bullion coins that you can invest in. In the US, the American Gold Eagle coin is very popular. Canada has a Maple Gold Coin, China has the Panda Coin, and other countries offer different choices as well. Some countries have tariffs on the import or export of certain types of gold so be sure to check out the restrictions. Depending on where you live, you may be able to take advantage of certain laws that allow 22 carat or higher gold coins to be Value Added Tax (VAT) free!
Conduct research to ensure you are purchasing gold from a good company. Use common sense and never invest more than you can afford to lose. Gold Bullion is a great investment if you plan for the long-term. Anyone can buy gold bullion, not just the extremely wealthy!
Most people don’t think they can own gold bullion, but they would be wrong. With the tough economy that everyone is facing today, investing in gold seems like a good idea. But how do you get started? Can anyone do it?
The answer is YES! Gold is a great investment when the economy is doing poorly. Gold prices tend to increase when the economy is unstable. Just remember that gold bullion is a long-term investment. Gold has an intrinsic value that most paper currencies cannot compete with over the long run. Currencies are subject to inflation more than gold bullion. The best way to protect your money is to keep money in gold.
Now that you have decided to do some gold investing, you should understand that gold is a physical commodity and unlike paper money has value even if the stock market collapses. You can buy gold bullion coins and/or bars. The bullion usually comes in one oz increments and is usually approaching 100% pure. Many companies on the Internet can help you to choose which type of gold bullion to buy and can do it for you for a very nominal charge.
Different countries offer different gold bullion coins that you can invest in. In the US, the American Gold Eagle coin is very popular. Canada has a Maple Gold Coin, China has the Panda Coin, and other countries offer different choices as well. Some countries have tariffs on the import or export of certain types of gold so be sure to check out the restrictions. Depending on where you live, you may be able to take advantage of certain laws that allow 22 carat or higher gold coins to be Value Added Tax (VAT) free!
Conduct research to ensure you are purchasing gold from a good company. Use common sense and never invest more than you can afford to lose. Gold Bullion is a great investment if you plan for the long-term. Anyone can buy gold bullion, not just the extremely wealthy!
Sep
22
Do you think it’s time to sell your gold? Take those rose-colored glasses off!
Filed Under Business | Leave a Comment
Andrew Hudson
Many new reports have publicized that the financial markets can go no lower. Crude oil prices are at an all time low, the housing slump and economic slowdown are over, and the future looks so bright, or is it? These reports recommend that now is the time to liquidate your gold bullion. But don’t be fooled, take off those rose-colored glasses, because now is definitely not the time to sell!
Before you decide to trade your gold for depreciating dollars, look at these important facts why you should be doing more gold investing. While retail sales have risen slightly, these sales include gasoline; which is selling well because the prices have dropped. Jobless claims continue to rise and many companies continue to announce new layoffs. Financial markets are still volatile. Even after the government has bailed out some of the largest banks, these same banks continue to need more money to operate.
The housing market has not yet reached bottom and people defaulting on their mortgages continues to rise. Inflation is going up and has risen more in the last six months than it has since 1991. The federal government will not raise interest rates to deal with inflation. The Fed has never raised rates while the country is in a recession. Tension is high all around the world. The gold price continues to drop as the global tension increases.
So what should you do? Think about this question. What has survived war, inflation, deflation, recessions, and depressions? That’s right, precious metals. What has not? Paper money has come and gone. Confederate money from the Civil War is no longer any good, but the gold that backed it still is. Gold is a long-term stable investment that history has shown to be the right choice for dealing with many types of crisis that are around right now. Throw away the rose-colored glasses and realize that the best recommendation is to NOT sell gold but to buy it!
Many new reports have publicized that the financial markets can go no lower. Crude oil prices are at an all time low, the housing slump and economic slowdown are over, and the future looks so bright, or is it? These reports recommend that now is the time to liquidate your gold bullion. But don’t be fooled, take off those rose-colored glasses, because now is definitely not the time to sell!
Before you decide to trade your gold for depreciating dollars, look at these important facts why you should be doing more gold investing. While retail sales have risen slightly, these sales include gasoline; which is selling well because the prices have dropped. Jobless claims continue to rise and many companies continue to announce new layoffs. Financial markets are still volatile. Even after the government has bailed out some of the largest banks, these same banks continue to need more money to operate.
The housing market has not yet reached bottom and people defaulting on their mortgages continues to rise. Inflation is going up and has risen more in the last six months than it has since 1991. The federal government will not raise interest rates to deal with inflation. The Fed has never raised rates while the country is in a recession. Tension is high all around the world. The gold price continues to drop as the global tension increases.
So what should you do? Think about this question. What has survived war, inflation, deflation, recessions, and depressions? That’s right, precious metals. What has not? Paper money has come and gone. Confederate money from the Civil War is no longer any good, but the gold that backed it still is. Gold is a long-term stable investment that history has shown to be the right choice for dealing with many types of crisis that are around right now. Throw away the rose-colored glasses and realize that the best recommendation is to NOT sell gold but to buy it!
Sep
7
Adam
As it appears gold has always been greatly appreciated by investors at large. Most of them believe in the same, namely, the history likes to repeat. Analysing the prices of gold it is not difficult to figure that during inflation rise, political instability or military conflicts gold tends to rise in value. A good example of this can be found in the case of war in Iraq. In 2003 when the situation was getting worse and very uncertain gold had risen in value up to 389 USD per ounce beating its best 6 year price at the same time. Moreover, in february 2009 prices broke through seven-month high, reaching 973.20 USD an ounce. For this reason is gold known as so-called safe heaven for investors being on of the most secure investment. In the view of yesterday’s information about North Korea missile launch trial it might be a good time to consider asset allocation in gold.
What has to be observed is that loads of investment opportunities offered by gold have one common characteristic, namely, all of them must be treated as long-term investments if we truly want to think about reasonable profits.
A good idea maybe to buy some gold bullions. Gold bullions are definitely one of the most common form of gold investments when it comes to private investors due to the fact that they are considerably cheap to acquire comparing to other forms of more advanced investments. What you should be aware of however is the fact that you will usually have to pay extra 4% up to 8% when buying in respectively smaller and larger quantitites. Naturally, potential profit upon sale will have to be reduced by the same percentage. From the most common big bullions currently is the most popular is London Good Delivery. Thus, other bars must comply with the standards and be at least 99.5% pure, weight around 11.3kg, have the standard shape, and come from reputable source.
Gold coins are not less attractive if bought with numismatic expert advice. Here the dominating form of asset allocation is Krugerrand with the best known South African design. Widely accessible and by far the cheapest to acquire Krugerrands are perfect for small investors wishing to put small amount into gold. Another advantage is simplicity in calculating one Krugerrand equates to one ounce of gold and therefore no weighting etc. is required to easily estimate the value of coin.
Alternatively, apart from varietites of different mutual funds, stocks etc. one may want to consider Avrae Global Coin Fund. Here the value cannot be that easily estimated as there are some external factors such as numismatic value, condition and scarcity. The coins can usually be bought from lists, auctions or through a number of independent collectors forming literally coin collecting network. Noteworthy, this form of investment appears to be by far more complicated as is not entirely dependent upon market gold prices fluctuations. Rare coin hunting is a very technical process requiring not only theoretical knowledge but also years of experience.
As it appears gold has always been greatly appreciated by investors at large. Most of them believe in the same, namely, the history likes to repeat. Analysing the prices of gold it is not difficult to figure that during inflation rise, political instability or military conflicts gold tends to rise in value. A good example of this can be found in the case of war in Iraq. In 2003 when the situation was getting worse and very uncertain gold had risen in value up to 389 USD per ounce beating its best 6 year price at the same time. Moreover, in february 2009 prices broke through seven-month high, reaching 973.20 USD an ounce. For this reason is gold known as so-called safe heaven for investors being on of the most secure investment. In the view of yesterday’s information about North Korea missile launch trial it might be a good time to consider asset allocation in gold.
What has to be observed is that loads of investment opportunities offered by gold have one common characteristic, namely, all of them must be treated as long-term investments if we truly want to think about reasonable profits.
A good idea maybe to buy some gold bullions. Gold bullions are definitely one of the most common form of gold investments when it comes to private investors due to the fact that they are considerably cheap to acquire comparing to other forms of more advanced investments. What you should be aware of however is the fact that you will usually have to pay extra 4% up to 8% when buying in respectively smaller and larger quantitites. Naturally, potential profit upon sale will have to be reduced by the same percentage. From the most common big bullions currently is the most popular is London Good Delivery. Thus, other bars must comply with the standards and be at least 99.5% pure, weight around 11.3kg, have the standard shape, and come from reputable source.
Gold coins are not less attractive if bought with numismatic expert advice. Here the dominating form of asset allocation is Krugerrand with the best known South African design. Widely accessible and by far the cheapest to acquire Krugerrands are perfect for small investors wishing to put small amount into gold. Another advantage is simplicity in calculating one Krugerrand equates to one ounce of gold and therefore no weighting etc. is required to easily estimate the value of coin.
Alternatively, apart from varietites of different mutual funds, stocks etc. one may want to consider Avrae Global Coin Fund. Here the value cannot be that easily estimated as there are some external factors such as numismatic value, condition and scarcity. The coins can usually be bought from lists, auctions or through a number of independent collectors forming literally coin collecting network. Noteworthy, this form of investment appears to be by far more complicated as is not entirely dependent upon market gold prices fluctuations. Rare coin hunting is a very technical process requiring not only theoretical knowledge but also years of experience.
Jun
21
Gold’s Value
Filed Under Business | Leave a Comment
Andrew Hudson
Gold has been a solid and secure mean of investment for millennia. The power to purchase anything, anywhere in the world is an invaluable benefit of owning gold. It maintains its value through times of economic downturn, and is essentially wear-less over time when compared to other forms of currency (namely paper). Since the beginning of society gold has been a powerful trading tool that fascinates its holders. Majestic, innocent, and unique; Gold will forever be marked as a diverse investment.
Among the most reliable forms of gold investments are gold bars and gold bullions. These chunks of solid gold vary in size and purity, ranging from 10oz. .995 gold bullion bars to .9999 kilo bars. Refiners will mark their gold bars and bullion with levels of purity and weight. Also available are various coins usually in fractions of 1, 0.5, 0.25, and 0.1 Troy ounces. 31.104 grams is equivalent to one troy ounce.
When it comes time to sell your gold back into the market, it works just as any money market would. With prices willing to be paid actively marked on exchange charts that can be found with the click of a mouse. A pro of invest in gold is that it maintains near full value when being exchanged between governments or when it’s taken outside of the country it was issued.
Another logical option would be keeping your money in gold. An alternative to banking and a sound, secure way of doing it. Just as gold will always be in demand, so will your ability to cash in your stock. Since the trading price of gold varies, you can pick and choose the right time to sell gold. A benefit of this is the fact you don’t have to rely on businesses (banks) to store your wealth. A Con however, is safely storing your gold.
The price of gold as of today is about $950 U.S. dollars/Toz., a strong selling point for the precious metal.
Gold has been a solid and secure mean of investment for millennia. The power to purchase anything, anywhere in the world is an invaluable benefit of owning gold. It maintains its value through times of economic downturn, and is essentially wear-less over time when compared to other forms of currency (namely paper). Since the beginning of society gold has been a powerful trading tool that fascinates its holders. Majestic, innocent, and unique; Gold will forever be marked as a diverse investment.
Among the most reliable forms of gold investments are gold bars and gold bullions. These chunks of solid gold vary in size and purity, ranging from 10oz. .995 gold bullion bars to .9999 kilo bars. Refiners will mark their gold bars and bullion with levels of purity and weight. Also available are various coins usually in fractions of 1, 0.5, 0.25, and 0.1 Troy ounces. 31.104 grams is equivalent to one troy ounce.
When it comes time to sell your gold back into the market, it works just as any money market would. With prices willing to be paid actively marked on exchange charts that can be found with the click of a mouse. A pro of invest in gold is that it maintains near full value when being exchanged between governments or when it’s taken outside of the country it was issued.
Another logical option would be keeping your money in gold. An alternative to banking and a sound, secure way of doing it. Just as gold will always be in demand, so will your ability to cash in your stock. Since the trading price of gold varies, you can pick and choose the right time to sell gold. A benefit of this is the fact you don’t have to rely on businesses (banks) to store your wealth. A Con however, is safely storing your gold.
The price of gold as of today is about $950 U.S. dollars/Toz., a strong selling point for the precious metal.
May
11
Vincent.Russo
In today’s soft economy, stocks are at a historic low and the dollar is on a rapid decline, but gold continues to be a solid investment for hard earned assets. The U.S. Dollar has fallen over 40% since 2001, while the value of gold has increased by over 150%. Additionally, for the past eight years, gold has outperformed the NASDAQ, Dow and the S&P 500. Unlike stocks, which can quickly change and go under, gold has remained a stable and universally valuable throughout human history. For gold to become unsustainable and collapse like the other markets, it would need to surge to over $6,000 per ounce. Currently, the price of gold per ounce is floating around $900 in U.S. currency. Due to its stability and growth, investment in gold is a secure way to protect and grow your money.
The financial crisis of the 1980’s created an environment that caused double digit inflation and will be repeated in 2009 to 2012. National debt is continuously and vivaciously growing and gross domestic product is shrinking. This means dollars won’t buy the same amount of goods and services a year from now as it does today. In fact, the dollar’s buying power may decrease by 25% by 2010. By moving money into gold, investors are preserving their purchasing power in a stable medium.
For collectors, prospectors and gold-lovers alike, there are considerations to make for ensuring your investment in the right type of gold that is safe and profitable. However, rather than focusing on what type of gold to purchase, you should consider why you are interested in buying gold. What you buy depends on your goals. So, you should have a good idea of what you would like to accomplish with your investment before you purchase anything. Once you have decided your goal, you can safely and wisely make your investment decision.
If you are a collector, your focus is simple. You want the rarest and therefore the most valuable coins out there. However, for those profit-seekers at-heart, your goal and focus are quite different. If you’re aiming to capitalize on price movement, then bullion coin will work wonders. If you are interested in long-term asset preservation, then you should consider adding pre-1933 and Modern American coins to your investment. This is just tip of the gold-investment iceberg. Today, gold’s popularity and demand are at an all-time high and investment options are endless. To develop a strategy customized for you, we recommend consulting a United States Gold Bureau representative.
Having a dealer that is dedicated to understanding the gold market is an invaluable asset to any gold investor. The specialists at United States Gold Bureau have studied the best techniques to help grow your investment. They specialize in certified PCGS and NGC pre-1933 and modern gold coins, as well as silver, gold and platinum American eagles in high mint conditions. Whether you want to purchase large quantities or individual items, U.S. Gold Bureau can fulfill all of your needs. Call them today toll free at (800) 775-3504 to speak with a specialist and secure your future in gold today.
In today’s soft economy, stocks are at a historic low and the dollar is on a rapid decline, but gold continues to be a solid investment for hard earned assets. The U.S. Dollar has fallen over 40% since 2001, while the value of gold has increased by over 150%. Additionally, for the past eight years, gold has outperformed the NASDAQ, Dow and the S&P 500. Unlike stocks, which can quickly change and go under, gold has remained a stable and universally valuable throughout human history. For gold to become unsustainable and collapse like the other markets, it would need to surge to over $6,000 per ounce. Currently, the price of gold per ounce is floating around $900 in U.S. currency. Due to its stability and growth, investment in gold is a secure way to protect and grow your money.
The financial crisis of the 1980’s created an environment that caused double digit inflation and will be repeated in 2009 to 2012. National debt is continuously and vivaciously growing and gross domestic product is shrinking. This means dollars won’t buy the same amount of goods and services a year from now as it does today. In fact, the dollar’s buying power may decrease by 25% by 2010. By moving money into gold, investors are preserving their purchasing power in a stable medium.
For collectors, prospectors and gold-lovers alike, there are considerations to make for ensuring your investment in the right type of gold that is safe and profitable. However, rather than focusing on what type of gold to purchase, you should consider why you are interested in buying gold. What you buy depends on your goals. So, you should have a good idea of what you would like to accomplish with your investment before you purchase anything. Once you have decided your goal, you can safely and wisely make your investment decision.
If you are a collector, your focus is simple. You want the rarest and therefore the most valuable coins out there. However, for those profit-seekers at-heart, your goal and focus are quite different. If you’re aiming to capitalize on price movement, then bullion coin will work wonders. If you are interested in long-term asset preservation, then you should consider adding pre-1933 and Modern American coins to your investment. This is just tip of the gold-investment iceberg. Today, gold’s popularity and demand are at an all-time high and investment options are endless. To develop a strategy customized for you, we recommend consulting a United States Gold Bureau representative.
Having a dealer that is dedicated to understanding the gold market is an invaluable asset to any gold investor. The specialists at United States Gold Bureau have studied the best techniques to help grow your investment. They specialize in certified PCGS and NGC pre-1933 and modern gold coins, as well as silver, gold and platinum American eagles in high mint conditions. Whether you want to purchase large quantities or individual items, U.S. Gold Bureau can fulfill all of your needs. Call them today toll free at (800) 775-3504 to speak with a specialist and secure your future in gold today.
Mar
11
Safe Bets – The Green Investment
Filed Under Business | Leave a Comment
Groshan Fabiola
As we all know, the world is going through a rough global economic crisis that affected even some of the largest corporation and industry giants from all over the world. Even with help from governments, large automotive companies and from other industries suffer a lot, and many even went into bankruptcy. What chances do regular people have when even the wealthiest men in the world lost large portions of their fortunes, some lost even more than half. But, even in these harsh times, the rules of the game have not changed.
The best chance for anyone that is seeking a good sense of security for them and their families is to make investments. This part has not changed. However the way we invest and the options available for us have greatly diminished since last year. Even though it may still be quite profitable, investing in stocks can really be a risky step. So, we are left with the type of investments, such as the green investment or the gold investment opportunity that have remained quite safe even in these insecure times. Gold, for example, even though we know it will never depreciate that much that we lose in the long term, is growing in price continuously, as well as silver. So, even though the majority of investment experts feel that gold is probably the safest bet possible, a person would have to invest a fortune in order to get some return that is if we follow what most of these experts are saying.
So, the only investment that has a good input/output ratio is the green investment. You don’t have to be a rocket scientist to figure out that the green investment as a growth opportunity will soon be one of the greatest steps one can make towards complete personal economic stability. The world is making its way towards energy independence; independence from coal, from oil and from pollution. More and more countries across the world are aiming for this energy independence. In the European Union, for example, the European Council has prompted every one of its members to have 15% of their energy consumption coming from green energy sources. Energy independence is definitely the future, and this makes the green investment one of the greatest investments one can make.
Many fear making investments, especially in times like these, but the truth is that there isn’t a better time to make investments in this sector. The prices are still quite low, and are said to go through the roof in one or two years time, when this crisis will be over.
The bottom line is this. If you are one of the lucky ones that weren’t affected very much by this crisis, and you still have the ability to make investments for the future, than consider the green investment because energy independence is the way of the future.
As we all know, the world is going through a rough global economic crisis that affected even some of the largest corporation and industry giants from all over the world. Even with help from governments, large automotive companies and from other industries suffer a lot, and many even went into bankruptcy. What chances do regular people have when even the wealthiest men in the world lost large portions of their fortunes, some lost even more than half. But, even in these harsh times, the rules of the game have not changed.
The best chance for anyone that is seeking a good sense of security for them and their families is to make investments. This part has not changed. However the way we invest and the options available for us have greatly diminished since last year. Even though it may still be quite profitable, investing in stocks can really be a risky step. So, we are left with the type of investments, such as the green investment or the gold investment opportunity that have remained quite safe even in these insecure times. Gold, for example, even though we know it will never depreciate that much that we lose in the long term, is growing in price continuously, as well as silver. So, even though the majority of investment experts feel that gold is probably the safest bet possible, a person would have to invest a fortune in order to get some return that is if we follow what most of these experts are saying.
So, the only investment that has a good input/output ratio is the green investment. You don’t have to be a rocket scientist to figure out that the green investment as a growth opportunity will soon be one of the greatest steps one can make towards complete personal economic stability. The world is making its way towards energy independence; independence from coal, from oil and from pollution. More and more countries across the world are aiming for this energy independence. In the European Union, for example, the European Council has prompted every one of its members to have 15% of their energy consumption coming from green energy sources. Energy independence is definitely the future, and this makes the green investment one of the greatest investments one can make.
Many fear making investments, especially in times like these, but the truth is that there isn’t a better time to make investments in this sector. The prices are still quite low, and are said to go through the roof in one or two years time, when this crisis will be over.
The bottom line is this. If you are one of the lucky ones that weren’t affected very much by this crisis, and you still have the ability to make investments for the future, than consider the green investment because energy independence is the way of the future.
Nov
12
Real Estate Investing benefits
Filed Under Business | Leave a Comment
Phil Laboon
“Growing instead of Shrinking
First thing to note in the list of real estate investing benefits is that if you look at the real estate market as a time line compared to the stock market, you will notice that real estate is a growing line with few major fluxuations. On the other hand the stock market has high points and valleys that range from quick high’s to sudden drops through out it’s history. It’s harder to look at the time lines of other forms of investing i.e. currency investing, mutual funds, buying gold and silver etc – but one thing is clear, no other market is as profitable or as safe as the investment real estate market. Many people ask me “Why is investing in real estate such a safe investment?” and the answer is as simple as it is complicated, the quick answer is “God isn’t making any more of it” the more complicated answer isn’t as poetic. The reason investing in real estate has so many benefits has many factors, I will go over the basics with you now:
Government Tax Breaks – The United States government has setup multiple tax breaks for real estate investors including the very popular 1031 exchange. The textbook definition of a 1031 exchange is:
“”A 1031 exchange or Like kind exchange is defined by section 1031 of the Internal Revenue Code. This code specifies that if an asset, usually some form of real estate such as land or a building, is sold and the proceeds of the sale are then reinvested in a like kind of an asset then no gain or loss is recognized, allowing the deferment of capital gains taxes.”"
The simple explanation is as long as you reinvest the money you made from your real estate investment into another investment you don’t have to pay taxes on said profit. No other form of investing gives you this much freedom with taxes.
Anyone Can Invest – Because real estate investing is so profitable and safe it see’s a huge amount of amateur investors entering the market everyday. Why else do you think all these infomercials are on late at night talking about the millions they’ve made overnight with someone’s CD set? O.k. I’m not saying that buying one of those CD sets will make you a millionaire but they are good to learn the basics of real estate investing from. The big problems with these CD sets is they teach making millions in real estate with bad credit or without spending a dime. This is not the case, 99.9999% of the time you will need excellent credit and a good amount of money for the down payment on an investment property (usually 10-20%).
Other People’s Money – Why invest your money when you can invest someone else’s? One of the big rules in real estate investing is “If someone is willing to flip the bill – let them”. Banks are more then willing to give out a loan to buy houses because unlike other forms of investing they have something tangible they can keep if you don’t pay up. Banks are usually not as willing to give loans for stock or gold investing because the stock you invested in maybe worth nothing by the time you sell and the bank has nothing OR you take your gold and run across the border. Real estate is almost always going to be worth something (often increasing in value every year) and their hasn’t been a recorded case yet of someone taking a house across the border.
Right now the investment real estate market is booming like never before in history and those investing in it are being rewarded more so then in any other time in. If you want more information on this explosive market feel free to visit my website or give me a call and I will answer any question you may have. “
“Growing instead of Shrinking
First thing to note in the list of real estate investing benefits is that if you look at the real estate market as a time line compared to the stock market, you will notice that real estate is a growing line with few major fluxuations. On the other hand the stock market has high points and valleys that range from quick high’s to sudden drops through out it’s history. It’s harder to look at the time lines of other forms of investing i.e. currency investing, mutual funds, buying gold and silver etc – but one thing is clear, no other market is as profitable or as safe as the investment real estate market. Many people ask me “Why is investing in real estate such a safe investment?” and the answer is as simple as it is complicated, the quick answer is “God isn’t making any more of it” the more complicated answer isn’t as poetic. The reason investing in real estate has so many benefits has many factors, I will go over the basics with you now:
Government Tax Breaks – The United States government has setup multiple tax breaks for real estate investors including the very popular 1031 exchange. The textbook definition of a 1031 exchange is:
“”A 1031 exchange or Like kind exchange is defined by section 1031 of the Internal Revenue Code. This code specifies that if an asset, usually some form of real estate such as land or a building, is sold and the proceeds of the sale are then reinvested in a like kind of an asset then no gain or loss is recognized, allowing the deferment of capital gains taxes.”"
The simple explanation is as long as you reinvest the money you made from your real estate investment into another investment you don’t have to pay taxes on said profit. No other form of investing gives you this much freedom with taxes.
Anyone Can Invest – Because real estate investing is so profitable and safe it see’s a huge amount of amateur investors entering the market everyday. Why else do you think all these infomercials are on late at night talking about the millions they’ve made overnight with someone’s CD set? O.k. I’m not saying that buying one of those CD sets will make you a millionaire but they are good to learn the basics of real estate investing from. The big problems with these CD sets is they teach making millions in real estate with bad credit or without spending a dime. This is not the case, 99.9999% of the time you will need excellent credit and a good amount of money for the down payment on an investment property (usually 10-20%).
Other People’s Money – Why invest your money when you can invest someone else’s? One of the big rules in real estate investing is “If someone is willing to flip the bill – let them”. Banks are more then willing to give out a loan to buy houses because unlike other forms of investing they have something tangible they can keep if you don’t pay up. Banks are usually not as willing to give loans for stock or gold investing because the stock you invested in maybe worth nothing by the time you sell and the bank has nothing OR you take your gold and run across the border. Real estate is almost always going to be worth something (often increasing in value every year) and their hasn’t been a recorded case yet of someone taking a house across the border.
Right now the investment real estate market is booming like never before in history and those investing in it are being rewarded more so then in any other time in. If you want more information on this explosive market feel free to visit my website or give me a call and I will answer any question you may have. “