You have probably heard all of the sour publicity about real estate these days. Well, let me convince you now, real estate investing is is still the most profitable path than any other investment – bar none.
In a recent survey conducted by Washington-based Guidant Financial Group, close to 1,000 self-directed IRA holders said what they were planning on using their retirement savings to invest in. You know what? For most of these smart investors, the top choice was real estate.
Regardless of a tedious national real estate market, real estate was the number one choice for self-directed investors, with 65 percent of the participants singling it out as their investment of preference.
It is also fascinating to note what kinds of real estate these investors are purchasing. Close to 60 percent were considering rental properties, while more than 36 percent had pre-foreclosure and foreclosures in mind, with slightly more than 28 percent thinking about raw land. Twenty-nine percent were thinking about tax liens and deeds (which is still snuggly intertwined with the real estate market).
David Nilssen, president and CEO of Guidant, said “These numbers provide valuable insight into the minds of investors. It demonstrates that, although the real estate market is experiencing a downturn, many still continue to regard real estate as a secure and viable means to growing their nest egg.”
According to the survey, other possibilities being considered included: 22.8 percent for business and franchises; 22 percent for hard money lending; 19.3 percent on notes; 19 percent were looking at vacation properties, while 10.4 percent were thinking about foreign investments, and 7 percent had securities in mind.
This should convince you that real estate should still be a centerpiece in any investor’s strategy.