Special Report

Why You Should Turn Your First Home Into an Investment Property

As a young person starting your first job you may think your only investment options are stocks or the company’s 401(k). Yet there’s another investment opportunity you may be unaware of – real estate in the form of a home.

Buying your first house needn’t wait until marriage and kids. Plus, your first home doesn’t have to be your primary residence. You can buy and rent out a home, thereby giving you another source of cash. Those funds can pay down the mortgage or provide the wherewithal to put into new investments. Since real estate tends to appreciate over time, you can reap a profit when you eventually sell. (These are the cities where investors are buying up the most real estate.)  

24/7 Wall St. created this list of four reasons a home could be a good first investment property, based on “Why First Homes Could Be Investment Properties,” a report produced by the  financial technology company SmartAsset.

Click here to see four reasons why your first home is a great investment.

Admittedly, buying a home can be a daunting task. But by scouring the market you can find some reasonably priced properties, particularly in the Midwest. Despite some ups and downs, residential real estate is a solid investment, and one that doesn’t have to wait until you’re older. (These are the cheapest cities to buy a  home.)

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