The stock market has been experiencing another correction in recent days and with a stock market correction, it’s not uncommon for investors to put their money into the bond market or real estate investment market like commercial or residential rental properties.
This has happened before in the past before the crash of 1987 and 2008 because smart investors like to get out of stocks before their investments lose a ton of value like Amazon’s Jeff Bezos who lost a record $9 billion in one day.
Let’s say that you have $1 million in stocks, should you invest some of your money into real estate? The answer to this question is yes.
A Very Stable Investment
Like Bonds, the Real Estate investment market is very stable and can offer you an excellent return on your investment.
Real Estate is different than bonds though because with real estate you can rent it out, generate income and ultimately raise the rent for inflation compared with bonds which depending on the bond will only pay you a small return on your investment.
How Long Will the Stock Market Correction Last?
If you’re wondering how long the stock market correction will last, the answer is it’s anyone’s guess. Many institutional traders have been predicting that the market may lose up to 30% of its value but since we haven’t seen a wild swing like that there’s a good chance that the market may not lose much more value from here.
Tired of the up and down of the stock market? If you’ve been investing since before 2008, you’ve been riding the “roller coaster” for a long time.
Thankfully, with rental properties, you can enjoy long-term stability and cash flow from your investment plus a wide variety of other tax advantages compared to stocks or bonds.
Learn More About Houston Texas Real Estate Investments
To learn more about real estate investments in the Houston Texas area contact us today by calling (832) 971-1841 or click here to connect with us online.