Real Estate As a Solid Term Paper

Open, View, and/or
Download this Document

Total Length: 2020 words ( 7 double-spaced pages)

Total Sources: 3

Page 1 of 7

Based on past cycles of real estate market fluctuations, many analysts expect the real estate market to decline further before it rebounds again. In all likelihood, the misfortune of some will provide investment opportunities for others within the next year.

The buyer's market that is expected to follow will inevitably result in property sales at far below their prior value. Qualified investors who can wait for the eventual market to rebound will realize significant profits if they sell, or will have secured premium equitable value for rock bottom costs if they purchased the property in a down market for their own use. This too is another similarity between the real estate market and the stock market, except that corresponding stock market fluctuations ordinarily cycles through in much shorter time periods.

Conclusion:

Real estate ownership is a solid investment that provides multiple opportunities to generate positive cash flow. For investors who enter the real estate market with the intention of making money, owning rental property offers a means of a steady so-called "passive" income and the corresponding freedom to devote one's time to other pursuits while still reaping a financial profit. Alternatively, where one acquires real estate for personal use as a homestead, ownership (even where it is subject to a lending institution lien) provides a certain "pride of ownership" in addition to the peace of mind of knowing that the portion of one's monthly financial property expenses ordinarily earmarked for rent are not subject to periodic increase and contribute to the equity of one's investment.

Stuck Writing Your "Real Estate As a Solid" Term Paper?

View All Our Example Real Estate As a Solid Term Paper

Have A Custom Example Essay Written



In comparison to other investments like the stock market, real estate ownership is (usually) a longer term prospect with smaller returns that are more gradual. On the other hand, whereas stocks may provide a quicker, larger return on investment, the corresponding risks associated with investments in stocks makes real estate a preferable choice for many investors, particularly those who cannot afford to risk a substantial portion of their investments.

Even in the current climate of caution precipitated by the subprime mortgage crisis, real estate is a solid investment, subject only to the proviso that, perhaps now more than ever, one avoid the pitfall of undertaking obligations that exceed one's reasonable ability to satisfy. Ultimately, real estate ownership combines many of the benefits of shorter term-higher risk types of financial investments without some of their corresponding risks of unacceptable loss.

REFERENCES

Clark, K. (2007) Taking a New View of Risk: Murky Investments Are Suddenly Out of Fashion. U.S. News & World Report. Vol.143 No. 8 (50-51)

Kiyosaki, R.(2007) Why the Rich Get Richer: When the Squeeze is on, Bargains Abound.

Accessed September 18, 2007, at http://finance.yahoo.com/expert/article/richricher/45300;_ylt=AqKPORLOxKtKdOtBgejq1IO7YWsA

Lowenstein, R. (2007) Subprime Time: How Did Home Ownership Become So Rickety?

New York Times Magazine; Sept. 2/07

Markels, a. (2007) Spring Fever: Just How Sick Is the Housing Market. U.S. News & World Report. Vol.142 No. 11 (33-36)

Markels, a. Yes, Housing Will get Worse. But How Bad?

U.S. News & World Report. Vol.143 No. 7 (46-48)

Zuckerman, M.….....

Show More ⇣

     Open the full completed essay and source list


OR

     Order a one-of-a-kind custom essay on this topic


sample essay writing service

Cite This Resource:

Latest APA Format (6th edition)

Copy Reference
"Real Estate As A Solid" (2007, September 19) Retrieved May 17, 2024, from
https://www.aceyourpaper.com/essays/real-estate-solid-35714

Latest MLA Format (8th edition)

Copy Reference
"Real Estate As A Solid" 19 September 2007. Web.17 May. 2024. <
https://www.aceyourpaper.com/essays/real-estate-solid-35714>

Latest Chicago Format (16th edition)

Copy Reference
"Real Estate As A Solid", 19 September 2007, Accessed.17 May. 2024,
https://www.aceyourpaper.com/essays/real-estate-solid-35714
   

Open, View, and/or
Download this Document
order custom essay example