Real estate is now considered as one of the most lucrative areas to venture to. This is because real estate properties are worth huge amounts of money and their values are almost always on the rise. Real estate investment involves the purchase, ownership, management, sale or rental of piece of property. But it’s not that simple. The business is also a very challenging and tricky industry to get into. So if you are setting your sights on this kind of investment, here are some of the pros and the cons that you should know about when it comes to real estate investments.

The Benefits
• Tax Benefits – Investing in real estate can give you some tax benefits through reductions of your tax returns. The interest cost can be deducted from your tax, whether they are from residential or commercial property investments. While the deprecation value of your property on the other hand, can be used to lower your declared income, which can reduce your tax in the process.

• Passive source of income – Rented or leased properties can supply you with a steady source of income, for as long as your property lasts. You’ll have a stead flow of cash coming, even without lifting a finger. All you need to do is to make that initial investment, develop the property, open it up for lease and reap the benefits of your business venture, for years and years to come.

• Asset base – Investing in a real estate property can serve as your positive asset base. This is extremely helpful when getting a house, car or business loan from banks or any financial institution.

• You can start small – You do not need to have a whole lot of money just to be able to get into the business. The United States for instance, encourages its citizens to own residential property. Thus by law, banks and other financial institutions are required to make property acquisition easy and very accessible.

The Disadvantages

• Vacancies for rented properties – A vacant property can mean no income for you at that particular period of time. Hence, you need to wait or look for someone who’s interested in renting your piece of land or building for you to start earning money again.

• Tenant issues – Most of the time, you’ll be leaving your property to people you barely know. And sometimes, you can end up with problems, such as tenants who refuse to pay or worse, damage your property. Problems like these can take quite some time to resolve.

• Tough competition – With the number of sky-rise condos and apartments available in the market today, competition is really tough. Because of this, you need to make sure that your property is always in top-notch shape to get the attention of potential buyers or leasers.

• High maintenance cost – Maintenance cost for real estate properties are always high, which is one of the main challenges for real estate investors.

Before you get into the business, take time to think it over. Remember, real estate is a very challenging industry but it is also one of the most rewarding.

Some good references to your real estate investment guide:

http://www.business.gov.sg/EN/News/Jan2011/20110125RecordForeignInvestmts2010.htm
http://www.channelnewsasia.com/stories/singaporebusinessnews/view/1088746/1/.html
http://www.propertyguru.com.sg/market-news/interview/paris-the-city-of-fashion-love-and-real-estate-inv

Real estate investing has offered investors much better returns than most other investment options. It is undoubtedly one of the quickest, yet safest way to create enduring, financial wealth. It is no longer the special past time of wealthy businessmen. It is not like the stock market.

Land Banking Investment is the practice of investing in raw land and holding on it for investment gains. Land prices usually keep rising with inflation, population increase or when the government converts land for residential use. Here are its advantages and disadvantages:

Advantages:

Investment and profits in land banking is one of the top reasons why people become super-successful. The world’s wealthiest people invest in land because they know it pays handsomely.

With world population on the rise, residential land area is sure to shrink. It is a matter of time when governments across developed and developing nations earmark land that has potential, as residential. Many savvy investors pick up parcels of land in areas that have growth potential.

Land is a tangible asset and is known to increase in value over time. It is a physical asset that you can see, feel, resell and/or hold on for self-use.

There is a huge shortage of affordable houses in our country. All you have to do is look up statistics on the homeless.

Cities are getting overcrowded, pricey and city homes are getting cramped. So, people prefer to stay in a comfortable house away from the home, leading to an increased activity in land banking investment.

Land investment procedures in developed countries are smooth and the titles are good.

Disadvantages:

Land investment takes time to pay back – it is a long-term investment. So every land investor must be patient.

Many land banking investment schemes have taken investors for a ride or have shut shop. However, there are unscrupulous elements in every trade and if you are a careful land investor and are getting sound advice, there is no way you can go wrong.

To sum up, land banking investment advantages score way above the disadvantages. If you are seeking staggering returns on investments coupled with safety, land banking investment is the way to go.

Related Post:

http://myinvestmentstories.com/great-videos-on-real-estate-investment
http://myinvestmentstories.com/invest-wisely-via-real-estate-investment

With the price of land increasing by nearly 92% over the past two decades, investing in UK land has proven to be more lucrative than the same investments in the stock market. That means there is more money to be made by investing in UK land. While the landowner is waiting for their speculative activities to create larger returns they can use the property as is for a source of revenue. Even agricultural land will continue to generate an income while the owner is waiting for its value to increase.

Investing in UK land as a speculative endeavor, especially in this culture where people search for space as well as homes to rent is a good way to make use of the land while it is gaining in value. Renters are willing to pay reasonable rates for use of property they have nothing invested in and this provides a buffer for the land owner while the bide their time until they can sell for a greater profit.

Some say that investing in UK land is a good way to hedge against the US dollar that appears to be falling in value. When there are a great many students entering the UK every year from other countries with the intent of taking advantage of the universities, there the investment in rental property affords the owner with the opportunity to rent that property to those who are looking for a place to live.

Cities like London are great places to invest in UK land because they draw people in from all over the world. However, it is prudent to always seek input from local real estate agents and brokers to learn about the area you are interested in for investing in UK land. They can help you make a better decision.

Some Good References:
http://myinvestmentstories.com/is-land-banking-investment-a-safe-investment-instrument/

http://www.propertyguru.com.sg/property-management-news/2009/11/26735/uk-property-market-showing-signs-of-stability

If you’re an investor based in Singapore who believes in buying raw land, then do check out some UK-based raw land investment options by Jardin Smith International. Having interacted with them in, I know that Jardin Smith International is a land investment company that buys greenbelt land in the UK, cuts it up into small plots and sells it to investors.

Now, here’s the catch – UK land that lies in greenbelt area cannot be used for residential purposes unless and until the government rezones it (marks it okay for residential purposes). In normal circumstances, this factor may put people off. However, Jardin Smith retains 25% of the land as its own investment so that people buying the land are reassured that it will perform some acts that will help get the land rezoned.

One thing that I like about the company is that they were candid enough to inform me that the rezoning permission would take 5 to 10 years. So, if you are looking to make a quick buck, this is not it. This is the kind of honest and blunt advice that is appreciated. Once the permission comes in, the land price spirals and can go up to 10 times the purchase price! 10 times appreciation in 10 years makes for a return of 100% per year!

The reps at Jardin Smith convinced me that with cities getting crowded and houses getting cramped in UK cities, people were looking to move to the outskirts. They showed me statistics related to affordable housing leaving me with no doubt that the government is not doing enough to create more affordable homes and that sooner or later, the government will start marking greenbelt land as fit for residential use. Jardin was of the opinion that the 2012 Olympics will give a boost to the UK real estate market.

Their land price statistics also convinced me about the investment potential. They wanted a 10% upfront (credit card swipe would have worked) and I was happy to know that UOB cardholders could pay the balance in interest-free 12 month installments. Well, though I am convinced about the investment potential and the people, I am yet to decide. Can someone help? Thanks.

The above review is just my thought and cannot be considered as a professional advice into your investment decision or whatsoever relating to monetary issues.

This seems to be the right and the ripe time to invest in UK property. If you have the cash to invest you can exploit the current market conditions to your advantage. Plenty of heavily discounted and distressed properties are now available. You can invest in these and let them out for immediate gains and then hold on to them for a price appreciation, which does not seem too far away.

The returns and the prices are just too amazingly low to ignore. For example, resale buy-to-let properties and newly built developer stock are available at a discount of 50% to 2007 prices. If you decide to buy and let them out, you can get close to 8% yield!

Investment in UK holiday homes is another great opportunity going cheap. You can buy a holiday home at a throwaway price and run a holiday homes business. If you’re lucky, you can make 6 months’ rent equivalent from a residential home in just 1 week! Plus, investment in a UK holiday home can lessen capital gains tax by as much as 45%.

Student accommodation presents a solid investment opportunity. UK is teeming with students from all over the world and they are looking for places to stay. You can buy a fully-managed accommodation and rent out the rooms without any delay. You will make significant rental income that grows year on year.

If you’re seeking massive appreciation, you can buy land on the outskirts of cities. The raw land must lie in an area that has potential to be earmarked for residential use. Investing in raw land is far superior and more rewarding than investing in intangible assets like shares.

You may need help from a reputed investment consultant who can provide you with excellent resources. Take the help and invest in UK property, which is about to take off.

Some more information video:

http://www.youtube.com/v/VCK9bnOVor0?version=3

check out my review on Jardin Smith International: http://myinvestmentstories.com/jardin-smith-international/

In my next article, will touch more on “How to Choose Good investment and insurance Products”

A good investment in stock and insurance products is one that appreciates or provides a good income over time. While buying such an investment you must ensure it is dealt in a transparent manner and the charges associated in buying it are reasonable.

Though listed stock prices and dealings are transparent, you must not invest in illiquid and penny stocks, which are subject to market manipulation. If they suddenly stop trading, your investment will go down the tube or will be locked up for a very long period of time. Unit trust and mutual funds take money from people and invest them in a variety of assets. Most funds display their net unit value every day. You can choose mutual funds that have ample liquidity and are managed by large and reliable companies (over $100 million in assets).

Structured investments and fancy derivative products are risky, not transparent, and structured to make maximum returns for the issuers. Plus, their charges are very high and the return is poor as well. Investment-grade life insurance products give very poor returns, and their charges are high too.

So, choose wisely and choose well. Go for instruments that are liquid, well-managed by reputed businesses, transparent, and fairly charged. Avoid life insurance products, structured investments and derivatives. Good luck!

Hiring a good financial planner advisor can make the difference between whether you get to experience an early retirement or find yourself needing to work way past your prime. In addition it can mean the difference between saving big money on your taxes or be devastated when the tax authorities come calling. Here are some tips on finding the best financial planner for you.

1. Determine the needs you have in advance so that you can choose the best financial planner who will be able to give you with the exact help you’re looking for.

2. Check out the financial advisor’s credentials, such as degrees and licenses then follow up by verifying them by making a few phone calls or checking online with your state to ensure they’re not fraudulent.

3. Interview the financial planner before you hire with a list of questions that you have prepared

4. One of the most efficient ways to find a good financial planner is by referral. Ask people you’re trust that are doing well financially due to their financial planner advisor.

Whether you’re developing your assets, managing your income or minimizing your liability, a good financial planner advisor will be crucial to your financial success.

Check out some great articles we have written:

1. http://myinvestmentstories.com/things-to-know-about-investing-in-uk-land/
2. http://myinvestmentstories.com/jardin-smith-international/