Why Invest with Texas Renters
Many investors may be reluctant to consider rental properties as a smart investment. They are afraid of the hassle of finding tenants, handling repairs, collecting rents, etc. That is what we at TexasRenters.com do everyday – we gladly handle the ins and outs of managing your property. Chances are, if you are on this page, you are already considering rental real estate as an investment.
At TexasRenters.com we are in the business of helping our clients create wealth and income from rental properties. Let us help you find quality tenants, collect rents, and maintain
1 Precious Metals – Can be volatile, require secure storage, may be flat for long periods of time.
2 Stocks – The market is vulnerable to all kinds of factors way beyond our control. What will be the next crisis that causes a collapse?
3 Treasuries – A thirty year bond yields just over 3 percent. If your yield is lower than inflation, you are losing purchasing power every day you hold this security.
4 Real Estate – Chances are, in the long term real estate will appreciate, regardless of what’s happening in the financial markets or economy. Just as the cost of manufacturing costs increases, i.e., wood, metal, concrete, and textiles, so does the value of real estate increases. All this considered, very few are successful at “flipping” properties. Real estate tends to be a long term investment.
5 Rental Real Estate – Perhaps the best way to leverage the bank’s money for your own benefit. This is an investment that someone else buys for you. An investment that you won’t pay taxes on when you sell it at a gain, and an investment that you can pull funds out of tax free.
Of course, most financial advisors will urge their clients to balance their portfolio among all of these different types of investments. Although rental real estate has so many obvious benefits, many are still reluctant to jump in. Well, imagine buying several rental properties over the next several years, letting tenants pay for them, and owning them outright 20 or 30 years from now. Does that sound attractive? We have clients who we mange for that have rental income and own properties today beyond their wildest dreams.
Real estate values may rise and fall, but rents rarely fall. Texas, in particular, and the Houston area shows growth and promise for the foreseeable future.
1 Cash Flow – Is tax free, due to mortgage and interest deductions, and depreciation.
2 Tax Write-offs – All expenses incurred managing your rental property may be written off against your other income. You may be able to legitimately deduct personal expenses, including payments to family members who “manage” your properties.
3 Retirement Income – Buying and maintaining rental property takes a great deal of commitment. It pays off over time as property owners build cash flow and wealth. Remember, after your property is paid off, all of those tenants are still paying rent.