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Mada Partners > Blog > Real Estate Investing In High Inflation Markets?
Real Estate Investing In High Inflation Markets

Recently we wrote a blog about the role real estate investing can play in protecting your capital during times of high inflation. One of the driving factors of high inflation in recent years is the incredible bubble of real estate growth. In recent years we’ve seen annual increases in real estate prices as high as 20%! We are seeing that as a direct result of these trends, more and more people are becoming priced out of the real estate market.

This has a two-pronged negative impact on the average Canadian trying to break into the market. First, on the emotional side, is the barrier to potential homebuyers in achieving the dream of owning their own “home sweet home”. Second, and from an investor’s perspective, the most concerning is the loss of investment and capital growth opportunity. As everyone knows, your own home is a form of investment in your future wealth creation.

So, what does one do to ensure they can at least ensure they have some focus on future wealth creation opportunities. Well, interestingly, real estate investing may still be a source of great opportunities. Why? Most simply put, you can still invest in partnerships with others to purchase property that you couldn’t afford to buy on your own. That property can be rented and have the rental income pay down the mortgage, while the property increases in value over time.

Real Estate Investment Trusts (aka REITs) are a prime example of how investors can pool their money in income-generating real estate opportunities. Below is a link to an article we found in BNN Bloomberg, which speaks to the value of REITs as an investment vehicle for people who are, for the moment at least, priced out of the market for buying a home of their own.

Interested? Feel free to click on this link to schedule a meeting with one of our partners to talk about how we might be able to help you on your journey to wealth creation through real estate investing.

Discover financial freedom with Mada Partners. The process of investing in USA real estate from Canada is smooth if you partner up with us.

Got questions? Pick a time to chat with us

Through Investor Club, both seasoned and beginner real estate investors can learn about Mada Partners’ upcoming investment opportunities & events alongside like-minded investors who are receiving passive income and on their path to financial freedom. Take this opportunity to diversify investments and earn like a pro, especially with a booming market in the US.

DAVID CAPRA

DAVID CAPRA

President & Founder at Mada Partners & Managing Partner at Langevin More Smith LLP and I help guide high-income earners like lawyers, dentists & entrepreneurs increasing their wealth by using real estate to enjoy a more balanced life with more time.

Ref: https://www.bnnbloomberg.ca/if-buying-a-home-is-impossible-reits-could-be-the-next-best-thing-1.1742994?

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