Southern California and Central Ohio CA and OH real estate funding properties
Investing in a dangerous asset class like real estate requires diversification to generate a higher long-term return because you by no means know when a specific real estate strategy or kind of property will fall out of favor. The advantage of an actual property index fund is it’s comprised of many Real Estate Investment Trusts (REITs), each of which is diversified among many properties. Let’s assume you can charge a hire of $2,000 on the previously described $500,000 property (which is fairly steep relative to the mortgage cost) and increase it by 2% per 12 months due to inflation.
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