Here’s a critical investing lesson you would be wise to learn now, while you’re young. Are you paying attention? Here goes: Wall Street REALLY ain’t what it used to be. The go-to choice for investing in your father and grandfather’s day has undergone a succession of seismic cultural and economic changes that have shifted the solid foundation upon which it used to rest. In short, the way to create wealth and a secure financial future does NOT that way lie.
Rampant speculation and the 24/7 news cycle spawned by cable television have done their dead level best to turn stock investing into little more than a trip to
Las Vegas for the weekend and a flying leap at the crap tables. Plus you’d have a lot more fun than watching your hard earned money trickle away that way than disappearing into the pocket of your friendly neighborhood broker after a series of poorly-timed market moves, right?
“Well, that’s just great. What am I supposed to do now?”
Don’t worry. We’re not ones to paint a bleak scenario without offering an alternative. We’re here to reveal a little publicized but vastly superior style of investing known as income property. Don’t freak out. It’s just a particular brand of real estate investing, one that has been known to return as much as 40% annually to some investors. Thanks to Donald Trump and his out of control hair, most people are at least somewhat familiar with the idea that there is a fortune to be made in property.
Over the years, The Donald has made quite a name for himself with a succession of high profile projects and acquisitions. Keep in mind you don’t have to play the game at that level in order to still be wildly successful. The secret to it all is to take on long-term, fixed-rate mortgages tied to a piece of income producing property. Let inflation and rental income do the rest.
Inflation? Isn’t that a bad thing? It isn’t when you’re investing with this method. In fact, it’s the only type of investing we know of that actually allows your assets to profit in the face of increasing inflation.
In this day and age, one thing we can count on going forward is inflation. Don’t let it wipe out your future (Top image: Flickr | Ed Yourdon).
The Young Wealth Team