5 Advantages Of Real Estate Investments In Canada

Real Estate investments have the prospects of making three times more money than even the most well paying investments like stock market. There are several practical advantages of investing in real estate today.

Here are the top five advantages of real estate investments that West Vancouver real estate agents state.

It Is A Low Risk Investment

Real estate is a low risk investment because you cannot lose it. Unlike other investments where a loss would mean that you lose money for ever, real estate is stable in a way that properties do not vanish. The pricing may go up or down depending on market trends but there is always a window that allows you to earn money. All this provided you keep basics like mortgage rate, area population density and market position besides other deciding factors in view.

 

High Ratio Financing

The high ratio financing in Canada allows you to buy a property worth thousands of dollars in just the ten per cent of the price. The rest 90 per cent can be easily financed. In certain situations the whole 100 per cent can be financed from Canada Mortgage and Housing Corporation. Therefore, anyone can make a real estate investment in Canada with a capital as low as $10000 to $17000. This absence of any huge capital requirement makes real estate investments practical for everyone.

 

Quick Returns

Real estate investments are fast profit earners. If you time your deals well after gauging the market situation well, you can buy a property, maintain it or renovate it and then sell it off within three months. All of this while earning a huge margin. Very few lines of work allow such quick turnaround of financial gains.

It Always Improves Your Skills

In real estate, there is no such thing as blockage of ideas. With time and deals you will only improve your skills. You will never be found in a stage where your talent has dried out and you are no longer making constructive contributions.

You Earn Equity On Your Investment

In real estate, equity is earned gradually as an investor pays his or her mortgage. This is basically the money on which you have no debt. By the time you sell the property, you will have made more money than the price of the house plus your mortgage and the money you spent on its maintenance.

 

These are few reasons that make real estate such a lucrative investment market even for the amateur investor.