Why Rental Income Is Important!admin
Why Rental Income Is Important!
Buying a property is considered to be a sound investment, but more important is to earn out of it, even if one plans to sell it after a while. The reasons for having a rental income are:
- Easy Money: Once you have bought a property, whether you sell it later or not, rent coming in makes a passive income without any efforts. This proves beneficial especially during post-retirement life as additional income is guaranteed.
- Manage Expenses: Property maintenance involves expenses. Keeping it idle would result in property getting deteriorated over a period of time and would even hamper its resale. Rental income can help in not only keeping the property in good condition, but also in paying off the maintenance charges and taxes.
- Loan Payments: If you have bought a house on loan, you can use the money coming in through rent to pay off the EMIs. This would be like buying a property from other people’s money without affecting your finances. In the long run, you own a house as good as free.
- Helping Family: Not only does rents help you in getting additional income, it also helps you during crucial phases in life like child’s education, emergency medical situation and the likes. Having a steady source of income leads to a comfortable lifestyle.
- Leaving Legacy:Having a rental property means leaving a legacy for future generations. You not only assure income for you during your lifetime, but also for your kids after you are gone!
Ensure the investment property doesn’t stay vacant, but starts generating income immediately after you own it. Consider it a business with one time investment and life-long returns!