Investor Services

Why Invest in Ottawa Real Estate?

Solid Reasons for Investing in Real Estate

 With low interest rates being offered on many savings products (bonds, savings accounts, term investments, etc. ) and the volatility of the stock market, traditional investment vehicles may not be sufficient to save for your long term goals. Some investors are now taking comfort in the diversification offered by real estate investments.
 
Here are just a few of the advantages of investing in real estate:

Stock Market Volatility: As we’ve seen in the last several years the stock market is extremely volatile and unpredictable.
Return On Investment: Let a tenant help you build equity. Having a tenant pay your rent may help offset the cost of the mortgage while still enabling you to build equity on your investment.

Long Term Equity: Investing in Real Estate is often a good way to build long term equity.
 
Lower more manageable risk: Depending on the type of property you purchase. Real Estate may offer you a more manageable risk then some other investment vehicles. For examples the dot.coms.

Supplemental Income: Investing in Real Estate may enable you to supplement your income for large expenses like education of your children or savings for your own retirement.

Diversify, Diversify, Diversify: Good financial planning involves using many financial products. Real Estate may be a good means of diversifying your portfolio.

Low Barriers to Market Entry: Owning a small business can require hundreds of thousands of dollars in start up costs and personal assets. An investment property may require as little as 15% down on the value of the house. This may satisfy your desire to become self- employed.

Robust Rental Market: Ottawa is one of the fastest growing cities in Canada and has a very competitive rental market with less than 5% vacancies. (Based on a recent Canadian Mortgage and Housing Corporation’s quarterly review)

Help reduce your taxes: Claiming property related expenses and the interest on the mortgages may help offset the taxes owned on your regular source of income.

However, as with any investment, it is important to take all the factors (both positive and negative) into consideration when making your decision. Speak with knowledgeable, trusted and experienced real estate professionals like the Renaud Otten Team to discuss investing in real estate. Call us today at 613-288-0090 or email us at mail@OttawaProperties.com.

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