Top 4 Reasons Why You Should Invest In Real Estate
You already know that when it comes to investments, you have many options.
You can walk with the bulls and bears on Wall Street, or you can invest in mutual funds. You can focus on retirement saving accounts, REITs and a whole alphabet of options. But when you look at real estate investing versus some of these other investment vehicles, you see that real estate investing offers you the best opportunity to create a diverse, secure, and financially profitable portfolio.
Real estate is a finite resource – no one is making any more land – and the demand for this resource is always climbing.
These two factors alone create the Financial Security you desire in your investment portfolio.
Let’s begin with the end in mind, and start at the finish line. What are your dreams of financial freedom? What colour and shape do they take? Do you see your Financial Freedom in a yacht on the high seas, or in a cabin on a snowy slope? Do you want to enjoy the freedom of “getting away from the world”, or of the busy streets of New York, London, or Tokyo?
For you, does Financial Freedom mean never having to worry about the monthly bills, or the knowledge that you have all the money you will ever need to secure the educational dreams of your children?
You may be sceptical or uncertain that you can achieve your own dreams of Financial Freedom – the old “it will never happen for me” scenario. But it can happen for you.
It happened for a 32-year-old who dreamt of travelling the world, and today does just that, thanks to his real estate investment portfolio.
Have you started to think about your retirement yet?
We hope you have done more than think about it… we hope you have started to plan for it!
Consider the type of retirement you wish to enjoy, from sitting on the beach with your laptop writing your novel, to working in your garden on your favorite plants, to just playing with the grandchildren; no matter what you want to do, you know that you must have the financial ability to secure it.
No matter if you are 25 or 55, today is always a good day to plan for tomorrow (In fact, you can leverage age, and time, greatly to your advantage in real estate investing).
What does your future look like, and how do you get there?
From retirement, to a career change, to your children education, how many properties do you need to own to make your dreams a reality?
CAREER CHANGE / ADVANCEMENT / CONTROL
An interesting article appeared in the newspaper recently. It reported that the vast majority of people, when asked if they would quit their job if they won the lottery, actually said no, they would show up for work the next day. Like winning the lottery, one of the greatest benefits of real estate investing is the flexibility the investment creates for you – of time, money, and options!
Changing jobs or changing careers can be scary. We appreciate that. And that is why we offer you the insights you need to transition your career to match your personal needs.
Do you want to be a part-time investor? Remain focused on building your current career and work part time hours to invest in real estate.
Do you want to partner with other like-minded investors and form a team that works tighter to build a portfolio? That’s an option, too.
Maybe you want to take a big leap. Maybe you dipped your toes into real estate investing and liked what you felt and saw. Perhaps you are ready for a complete change, where you take control of your life, where you are the “boss of your future.”
It usually does not happen overnight – we’re not talking about winning the lottery here. That’s why you should read these two valuable articles:
HERE’S WHAT CANADIANS ARE TELLING US…
You’ve found yourself on this page because you are frustrated with the dismal returns you’re getting in your retirement funds, you are worried about how little is put aside for your kids’ education, and you’re exhausted because there is barely anything left over at the end of the month to put away.
Retirement looks farther and farther away. You’re looking for something – anything! – to change the financial course of your life before you get so far down the wrong path that you can’t come back.
Sure, maybe things aren’t THAT bad now but you know something is happening and you’re worried. Maybe you’re not getting ahead in your job and you know that costs are rising and taxes are rising faster than your ability to earn.
It’s happening to Canadians all across the country and that’s why many folks – just like you – are seeking out something that will help them.
Maybe you’re here because you’ve heard that real estate is an option that some people are using to change the financial course of their lives and you’re curious, skeptical, or even downright desperate to know if it’s real.
It’s for that very reason that we’ve published this free report right on our front page to give you all the information you need to decide if real estate is right for you and to help you make sense of it if it’s totally new to you (and to give you a way to take action right now to learn more… without spending a penny or taking any risk).
REAL ESTATE: THE WEALTHY PERSON’S WEALTH-BUILDER
When many people think of real estate, they might think of the house they live in. Or they might know someone who owns a rental property somewhere. But real estate can be big business.
You may not realize it but the world’s wealthiest individuals don’t hold a lot of cash; they don’t have huge vaults of money under their palatial mansions. Instead, they preserve and grow their financial empires by holding real estate in their investment portfolios.
- Of course you know “The Donald,” who is as famous for his hair and his larger-than-life personality as he is for his real estate holdings.
- You might not have known this but Arnold Schwarzenegger was modestly successful as a real estate investor before he became a famous actor.
- McDonald’s Restaurants may be well known for their burgers and fries but it was a clever real estate investing strategy that actually helped them become the most successful fast food restaurant chain.
- And Warren Buffett, one of the world’s most prominent investors, has famously said on CNBC that he would buy more real estate if he could.
For these wealthy people and organizations, it’s an obvious choice: Over the years, real estate has been proven, time and time again, to be a strong and steady wealth creator. Even during the US real estate crash in 2007/2008, there was still some significant money made in real estate for investors who had structured their business in the right way.
In short, real estate’s proven track record for wealth creation and preservation is undeniable. It is a well-documented fact that real estate is a very convincing investment class.
But, by far, the greatest and the very best part of investing in real estate is… Anyone can do it (Yes, that means you).
Sure, we’ve just talked about the wealthiest people but they’re actually just a small percentage of those who are making huge gains and ongoing cash flow from real estate. There are many (literally tens of thousands) investors just like you and I who are regular people (no Donald Trump hair or Arnold Schwarzenegger muscles) who are making money in real estate.
These people don’t drive gold-plated cars or live in crazy mansions. They’re the folks who live just down the street from you who have a job just like you, drive a normal car just like you, have a couple of kids in sports just like you, have bills and expenses just like you…
…but they’ve invested in real estate and have secured their retirement and are able to save up for their kids’ education, pay down debt, and maybe even enjoy a nice vacation every year.
And yes, there are some who take it a level beyond that, eventually quitting their job and becoming full-time real estate investors. Chances are, the idea of quitting your job sounds pretty nice but you’re looking for a realistic first step, not that 10-years-away dream.
It’s for that very reason that people of all walks of life choose real estate. It gives them the option to start as small as they want, as comfortably as they want. And, they don’t have to compromise what matters most to them. Hey, you’re free to buy that gold-plated car when you get there but if you’re like most people who end up on this page, you’re probably happy if you can pay off your kid’s orthodontist bill and maybe have enough left over to finally take your spouse on a couples-only vacation.
You’re looking for something that will allow you to continue pursuing the career and life you’re living; regardless of whether you’re an engineer, plumber, bank teller, teacher, airline pilot, or stay at home mom… anything. Real estate allows you to live the life you want while you build up a financial foundation that will truly make a difference now…
- … and in the future…
- … and in your retirement…
- … and, if you are a parent, for your kids’ futures…
Because let’s face it: As nice as it would be to have a little extra for yourself at the end of every month, one of the biggest underlying reasons that you came to this page in the first place was that you want to create a better life for you and your family.
REAL ESTATE IS ABOUT MORE THAN MONEY
This is what shocks most people when they really start to get into real estate. Many people, perhaps like you, find their way to real estate because they’re looking for that financial “edge” to help them.
But what really locks them into real estate is the non-financial benefit: Real estate investing is not really ever about the money! Real estate investing is about…
You will sleep a little better at night knowing that your bills are taken care of.
You will sleep REALLY WELL at night knowing that you can pay for your kids to go to the college they want to go to, knowing that you can afford to help out your parents if they need it, and knowing that you won’t be a financial burden on your kids when you retire.
You will love the sense of freedom you get. (This shocks most investors.) Imagine waking up one morning and realizing that you have slowly and carefully built up a real estate portfolio that is turning out to pay you as much or more than your wage at work. Would you keep working? Some people do… but what a sense of freedom knowing that you don’t have to if you don’t want to.
Yes, the goal of investing your money in anything is to produce a huge financial return, to make your money work harder for you than you work for your money. But if you dig a little deeper, you will likely see that the true purpose of investing is to help you realize your dreams.
HERE’S HOW TO DECIDE IF REAL ESTATE IS RIGHT FOR YOU
After years of helping thousands of real estate investors across the country, from people just starting out and owning no real estate, to veterans who now own 100’s of doors, we recognised there are…
DECISIONS, DECISIONS: WHICH INVESTING STYLE IS RIGHT FOR YOU?
By now, you’ve seen how real estate investing could impact your life. And perhaps you’re aware that there are many real estate options to choose from. So which one is right for you? There are pros and cons to any style of investment, and real estate is no different. However, there are some unique benefits to investing in real estate that you need to understand, so here are a few of the key ones:
Remember one of the goals of investing…make your money work harder for you than you work for your money. Let us help you begin to think this through leverage.
In short, with real estate you can make your money go farther by leveraging the bank’s money in the form of a mortgage, AND then you make money on the bank’s money.
With the average mortgage you are investing $1 dollar for every $3 the bank gives you. Quick math says if you have $100,000, you can buy a piece of real estate worth $400,000.
(Yes, you need credit to secure the loan and you’ll pay interest, but the beauty of leverage is with the right real estate structure in place, you never actually pay the interest on this money… your tenants do!)
A very simple example of a buy and hold strategy:
Read an article explaining how owning just a single piece of real estate can be like saving “$900 a Month for 20 Years”. IF you were to purchase a quality property in a town with strong economic foundation, the style Oakmont helps you to buy, and you invested $100,000 and took out a $300,000 loan amortised over 25 years, and you held that property, through ups and downs, for 25 years, guess what??…over that time your tenants will have paid off all $300,000 of the loan (both interest and principle). In this extremely simplified example, assuming no cash flow or appreciation, you are still left with the property free and clear… nice!
You can sell, refinance, or pull out your initial investment, and still own the asset! How brilliant is that!?
Again, this is a simple example (there’s actually a 25 year timeline), but you can quickly see that leverage is a very powerful tool.
In the example above, the property broke even over 25 years without cash flow. But most real estate investors want their investment to perform better than break even (and when done right it’s not that difficult). Cash flow, even though taxed, is what’s left over after all expenses have been paid.
Although there are many different factors involved, an annualized, safe initial cash flow estimate in your first year as an investor is $100/unit/month. This means you could bank $100 every month after all expenses are paid.
Now, you might say – $100/month sure doesn’t seem like a lot of money, how am I going to get rich on that???
$100/month is an example but is by no means the only possibility. Think of it more as a filter when looking at investments.
(Also, IF you’re thinking $100/month is peanuts, couple that to the mortgage pay down every month (our leverage example above), PLUS any market appreciation and/or value add…then couple that to 5 properties and you can quickly see how things start to add up! Would $500 a month make a difference to you?!?)
What some investors like to call the ‘icing on the cake’.
You’ll often hear the average homeowner talk about profits in real estate only in terms of the market going up. However, this is a dangerous assumption! Real estate does not always go up: it goes up, goes down, remains flat… it’s a cycle. Yes, the general trend is up, but don’t bank solely on market appreciation.
Look for cash flow and then enjoy the appreciation as a bonus.
VALUE CREATION / CONTROL
Ever had an investment where you had no control, no ability to pull it out of a slump or add value it? (Sounds like every mutual fund out there, right?)
That’s one reason why investors love real estate. You can’t just show up to a mutual fund and, with a little sweat equity, increase the mutual fund’s value by 20%. But you can do that with real estate! Between sweat equity and smart additional investments, you can achieve higher value from higher rents, higher market value, better ‘rentabililty’, and more!
COMPLETE CONTROL AND THE ABILITY TO ADD VALUE.
Maybe you’re wondering: “Do I have to be a ‘hands on’ type of investor?” Nope, not one bit, you can literally hire every last thing out OR you can simply invest cash into a deal and be a silent partner.
There are so many options to choose from.
WHY INVEST IN CANADIAN REAL ESTATE:
We hope that by now, you are giving serious consideration to your real estate investing future.
Here at Oakmont, we can think of dozens and dozens of great reasons why you should involve yourself in real estate investments as a means of securing your financial – and personal – dreams.
We are proud to be labelled the leader in Canadian real estate education for independent investors. That’s because we love this country and the amazing opportunities it provides.
All you have to do is look around you – at the newspaper headlines, the TV reports and the Internet news feeds – to realize that we live in a pretty wonderful country.
We have tremendous confidence in the Canadian market. We do the research, examine and analyze the trends, and interpret what the numbers mean for real estate investors.
What Oakmont provides is confirmation and affirmation through interaction with like-minded individuals. No matter where our Investorss come from – financially, geographically or psychologically – they share a core belief in the opportunities laid out before them in Canadian real estate investing.
For example, last year, Canadian real estate boasted a 10-year annualized total return of 11.9 per cent. That is the second highest of all countries in the world, behind only South Africa, and compares favorably with a return on equities of about 8 per cent, and 5.6 per cent on bonds.
Therefore, for you as an individual, that number means you can expect positive returns on your real estate investments. The options you have, the opportunities we share, make Canadian real estate one of the most attractive investment targets in the world.
That’s why we created a special report with “Five More Reasons…”
WHEN SHOULD YOU INVEST IN REAL ESTATE?
Because real estate is a proven performer and an excellent tool for wealth creation when done right, and coupled with time, your results improve exponentially.
Real estate investing is easily correlated to the ancient Chinese proverb:
Read “Why Real Estate Investing Makes Sense For You”.
HERE’S WHAT TO DO NOW
At Oakmont, we’re committed to educating Canadians about real estate investing so they can decide where, when, and how to invest.
If you’ve got to this point in the report, chances are that you’re thinking seriously about what real estate investing can do for you.
It’s SO EASY to get caught up in the details – in the styles and options and choices and steps- and in the thrilling dream of what your life would be like when you achieve financial freedom through real estate.
We realise that the choices can be overwhelming and that often leads to inaction… which robs you of the opportunity to take charge of your financial future.
It’s what we recommend to all Canadians who are thinking about investing.
If you’re ready to seriously consider investing in real estate, and you want to do it with the best chance of long term success, now is a great time to jump in.Join other Canadians who are taking charge of their financial futures – hardworking, overtaxed Canadians from all types of professions and backgrounds, brought together through one unified channel: real estate.
Real estate opens up the possibility to grow your net worth at a rate, and to a level, that no other investment can.
Up markets, down markets, stagnant markets – it doesn’t matter. Over the past two decades investors have shown that there are ways to prosper and profit handsomely from uncertainty and adversity… thanks to proven real estate investing strategies at Oakmont.
You don’t need a university degree, you don’t need the IQ of a genius, and you don’t need an excess of money to begin. You just need to make a decision, to take action. And we’ve made it SO EASY for you to take risk-free action immediately:
Real estate is a proven wealth creator…Now you too can build a solid and sustainable foundation for wealth creation and financial certainty. The historical real estate investing success stories are endless… now is the time to write your own!