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Why Property Investment for me?Passive income is different from active income whereby you have to exchange your time to money, it is generated even though you do not actively work on it. The book "The Parable of the Pipeline" by Burke Hedges explains the concept of making passive income streams very well. There are several ways or investment vechiles to generate passive income streams toward financial freedom for example rental properties that give you positive cash flow, fixed deposit, stock dividend, bond, mutual fund, internet marketing, royalties from book or song you have written, franshising etc.. Additional considerations that I choose property investment as my main investment vechile/strategy: -Make my money work harder for me -It is with acceptable/not high risk and with stable and predictable return -Not time consuming, only need to look for the property once and rent it out. Based on my experience so far with good tenant, I did not do anything for ~2yrs but only monitor the rental bank in to account monthly -Appreciation and let inflation to work for you. The cost to build a building or house will not be the same today vs 20yrs later with all the material, labour etc..cost increase over time -Practice and make use of the leveraging concept. With minimun let say 10% downpayment , we are able to own the property and start getting tenant to work for us-Serve as our retirement fund or children education funds Source: Free Articles from ArticlesFactory.com
ABOUT THE AUTHORCopyright@2009 cheehin, started property investment in Penang since 2007, currently acquired 4 properties in Penang. Goal is to achieve financial freedom thru property investment. |
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