According to an article in OPP.today, most real estate investors who have bought property in the United States think this decision has helped bring financial success. The survey conducted by Better Homes and Gardens Real Estate found 96% of investors believe this to be true.
Additionally, the survey found that 90% of real estate investors in this country are interested in putting money into real estate. It found that confidence was high, with 89% of investors keen to think about adding real estate into their investment strategies, and 80% of those surveyed thought a real estate portfolio is one of the best financial legacies they could leave behind for relatives. These investors included baby boomers, millennials and those from Generation X, all of whom thought real estate was the best way to diversify an investment portfolio.
Other findings revealed that over half of investors thought their decisions had brought about greater financial stability and greater long-term net worth. Out of those who have invested in real estate, 94% were interested in making a future investment of this type, with 84% saying they fully intend to make another real estate investment. Some 40% of those who had already invested were planning to make another investment in less than a year. Out of those investors who had never previously put money into real estate, some 80% were interested in making this type of financial commitment. Interestingly, 96% of millennial investors were interested in real estate investment which is higher than baby boomers at 83%.
The survey also uncovered that 79% of investors felt it was important to purchase a property they could use for themselves or which would be available for a family member to use at some point. Some 83% of parents who invested were considered buying a property with a child or grandchild for a variety of different reasons. These reasons included funding college tuition sometime in the future, having children or grandchildren live in the property during college, co-managing and profiting from the property together, or managing and profiting from the property themselves.
Out of those who had made a real estate investment during the last five years, 89% felt it was important for it to be geographically close so they could either use the property themselves or could manage it. For people yet to invest, this type of commitment can be a deterrent. The top reason for not investing in real estate was a lack of knowledge, followed closely by the time required and the capital needed. There were also concerns about the investment being too risky.