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1. Two of the best ways to grow you wealth is investing in bricks (real estate) and businesses (stocks)
I talk a lot about investing in stock, mainly because this is the easiest way to start. You can start with £50pm for example. Real estate in UK is going to need a 25% deposit
I talk a lot about investing in stock, mainly because this is the easiest way to start. You can start with £50pm for example. Real estate in UK is going to need a 25% deposit
2. If you take the approach to investing in stocks then it’s a very hands off process. You can set it and leave time and compounding to do its thing
Real estate will generally need more input and can come with more hassle in terms of issues with tenants and periods without them
Real estate will generally need more input and can come with more hassle in terms of issues with tenants and periods without them
3. Both should give you the potential real growth (above inflation) and income.
Real estate will give you the chance to leverage your returns by taking a mortgage out on 75% and then have the rent cover this mortgage. A great way to generate wealth over time.
Real estate will give you the chance to leverage your returns by taking a mortgage out on 75% and then have the rent cover this mortgage. A great way to generate wealth over time.
4. So if starting stocks is probably best bet and then moving onto real estate
Real estate isn’t for everyone, I have clients love it and have millions in property but others that end up selling them up. They want a simple life and don’t want the extra hassle of real estate
Real estate isn’t for everyone, I have clients love it and have millions in property but others that end up selling them up. They want a simple life and don’t want the extra hassle of real estate
5. If you don’t want to deal with real estate that’s fine having your long term investment mainly in stocks. You likely to have some real estate exposure via your home
If opt for real estate, in the UK I would say to aim for properties that give you a yield of 5%+
If opt for real estate, in the UK I would say to aim for properties that give you a yield of 5%+
6. One final point on real estate, unlike liquid investments like stocks I would not go all in
You might be big on property, which is fine and having more of your investments in real estate is also fine
Make sure you have some liquid investments that you can access
Why?
You might be big on property, which is fine and having more of your investments in real estate is also fine
Make sure you have some liquid investments that you can access
Why?
Well simply put you can’t just take a brick spend it
So if you end up needing access to more funds than the income you have real estate isn’t great
Having a stock portfolio and some cash can give you other options
For me business and brick investing works well together
So if you end up needing access to more funds than the income you have real estate isn’t great
Having a stock portfolio and some cash can give you other options
For me business and brick investing works well together
