Real estate. Investing in real estate is generally :
Putting all your savings into the down payment,
Getting into debt over 20 years,
Looking for the right deal for a year and sometimes not finding it. However, everyone talks about it and many wish to invest. We will explain why real estate is so popular. Here are the 4 reasons to invest in real estate:
1. Endless demand, limited supply
There will always be a demand for housing because it is a basic need. By owning real estate, you own a product that will always be in demand. Supply on the other hand is limited, you can't build forever. Growing demand, limited supply, the mechanism increases prices.
2. Create a new source of recurring income
Rental investment allows you to obtain a source of recurring monthly income with a low risk. It is probably the only product that has this characteristic and so much stability.
3. Protects against inflation
During periods of inflation, the increase in prices is also reflected in the rents. The yields being higher, the price of the real estate increases. It is an asset that protects against price increases.
It is important to diversify your asset portfolio in order to reduce your risk. Real estate is an asset of choice for this diversification. It can sometimes seem inaccessible due to the high capital requirement. Equito App is a good way to start investing with a lower capital. The app allows you to invest in fractions of real estate from 100 €.