With
growing uncertainties around banking and other financial institutions, the
economic outlook doesn’t seem very positive for investors.
From recent interest rate hike to
turbulences in the global equity market, people are hesitant to put their funds
at stake.
However, the only market they
will be seeking refuge this year is the real estate. When compared, the real
estate market guarantees better returns with lesser potential risks.
As an investor, 2016 is a
desirable year on the real estate front. Outlined below are some reasons why
you should invest in real estate this year – yes, it’s all about making smart
investments:
Local as well as International Expansion
While Los Angeles, New York and
San Francisco continue to be hot property hubs within the U.S, Americans are
expected to enter international boundaries and diversify their portfolios by
investing in European real estate.
According to statistics, 43% of
investors are looking for properties in London, followed by 19% investors in
Paris, and 14% in Frankfurt. In addition to making investments on the
residential front, the trend will towards commercial investment will also rise
with people investing in shopping centers, commercial offices and retail
outlets. This is particularly true for the U.S. where people are investing in
residential as well as commercial properties.
The Potential in South America
In case you lack sufficient funds
to make real estate investments internationally, go south and make your best
bet.
Often smaller markets have higher
risks, but the kind of pay-out they yield is phenomenal. In north-east Brazil,
you will find a number of condos that can be bought today and sold for as much
as 60% higher than their buying price in a span of 2 years. That’s quick,
incredible and worth the investment.
Real Estate Market is the Real Deal!
Most investors believe the year
2016 to be the ‘Year of Real Estate’;
likely so, properties will be bought and sold like hot cakes around the world.
To begin with, the real estate
market is rising collectively. If we look at the U.S. alone, investments made
in real estate properties last year (2015) were 11% than the previous year. Furthermore,
according to a survey that was conducted on investors worldwide, nearly 50% of
them chose to invest in property through 2016.
The
Rental Space Will Rake Money
The world is now adopting the
rental culture, causing a remarkable hike in the rental rates.
For investors, this is yet
another lucrative opportunity as buy-to-let properties are growing to be
profitable, thanks to the stabilization of property rates in the U.S.
Speaking of the U.S, the rental
market reports suggests that around 90% of property owners amplified their rental
rate last year in 2015, and the figure is expected to swell this year as well
by 8%.
With U.S. growing to be a hotspot
for local and international investors, all you need now is the assistance of an
experienced real estate
agent to simplify the process for you. Find some of the best residentialproperties in New York
and New Jersey with
Phillippa Lynch – one of the finest real
estate agents with profound industry knowledge.
