There are several reasons why someone might choose to invest in real estate:
Potential for steady income: Renting out properties can provide a steady stream of income and can be a good way to generate passive income.
Appreciation: Real estate values can increase over time, providing potential capital gains when the property is sold.
Tax benefits: Real estate investment can offer various tax benefits, such as deductions for mortgage interest, property taxes, and other expenses.
Diversification: Adding real estate to an investment portfolio can help to diversify holdings and potentially reduce overall portfolio risk.
Tangible asset: Unlike stocks or bonds, real estate is a tangible asset that you can see, touch, and control.
It’s important to note that real estate investing also comes with risks, including fluctuations in property values, difficulties in finding tenants, and the costs of maintenance and repairs. As with any investment, it’s important to carefully consider your financial goals and risk tolerance before investing in real estate.