Real Estate Tips from Bob Rich-Why Income Property?

QUESTION: You have often alluded to advantages of owning income-producing property. Could you put them all in a nutshell here so I can show it to my wife who holds the purse strings.

ANSWER: There is no better time to loosen the purse strings (if you have extra cash put aside) than investing in a good income-producing property. Here are a few reasons why: It is an excellent hedge against inflation. Real estate values always outpace rising prices in other categories. You employ leverage which allows you to acquire property with a minimum amount of your own money and lot of other people’s money. You enjoy a higher cash flow than in other investments and enjoy the profits you earn by paying lower taxes on such income. You provide a tax shelter which allows you to pay less taxes on other income you may earn. You have the flexibility to refinance when the value increases and take out large sums, tax free.