If you’re a person who is avid about finding new ways to expand their financial portfolio, then one of the most common methods is through real estate. This doesn’t mean you need to get a license and start actually selling real estate yourself though. Instead, you need to start exploring different types of real estate available for investment.
WHAT KIND OF REAL ESTATE SHOULD YOU INVEST IN?
The type of real estate you ultimately invest in can come down a number of factors, including your available capital, the timing of the investment, and also just what type of real estate is out there. There is definitely no “right” answer in terms of what you should do, but the more information you have about the available options, the easier it will be to make a confident decision.
There a few different functions that an “industrial” property can serve. For example, many of these buildings can be used for warehousing or storage. Additionally, some companies might want to rent out the space for manufacturing or distribution. One of the reasons why so many investors look to get their hands on some sort of industrial property is because of its versatility. Plenty of companies can find use for a large, open space, which is why this kind of property should become a staple of your investment portfolio.
Available in all shapes and sizes, and in a huge number of locations, office space has a huge upside in terms of real estate investment. From a small building near the beach to an entire floor in a downtown skyscraper, these types of properties persent incredibly lucrative real estate investment opportunities. However, with office property, be mindful that the renting of the space is entirely dependent on the growth of the interested companies. If there is some sort of economic downturn, companies will be less likely to need space to fill hiring needs.
A SECOND HOME
This is typically going to be a common starting point for anyone who is looking into a new real estate venture. A second home (especially in an entirely different part of the country) can benefit owners in a lot of ways. Firstly, this is essentially a vacation home that you, your family, and friends have the ability to take advantage of at your discretion. During times of year you’re not using it (or especially during peak travel season such as spring break and the summer), you can rent it out to guests and make a return.
The one thing that you need to be mindful of before making this type of purchase is that, much like your primary residence, there’s a lot of upkeep involved. This includes billing, property taxes, cleanup, and dealing with any issues that may arise such as plumbing problems. This shouldn’t be a deterrent in terms of making the investment, but these smaller details sometimes get overlooked.
LET AN EXPERIENCED TEAM HELP WITH YOUR NEXT REAL ESTATE VENTURE
If you’re on the verge of making some sort of real estate investment to expand your financial portfolio, you want to have an experienced team by your side. At Caskey & Caskey, we’ve been one of the South Bay’s leading real estate teams, and bring over 30 years of combined experience to the table. From first home purchases to investing in commercial real estate, we can help guide you through the process and provide the type of service you expect from a quality real estate agency.