We have always been told by our grandparents and parents from a very young age that we need to start early in order to be able to build wealth over our lifetime. Many young people don’t really think about the future, and who can blame them? However, they later regret that they didn’t take the time to invest in such things as property, so that they could retire early and live life to the full. Property has steadily been increasing in value all over the world, and particularly in Phuket, Thailand.
Luckily for you, there are luxury homes for sale in Phuket Thailand, at this very moment, and you would be very surprised at how affordable they are. This is a top destination with excellent rental opportunities, and many of the properties can be purchased cheaper than a standard two-bedroom house in the United Kingdom, for example. You can’t afford to ignore the financial potential of these properties, and therefore, the following are some of the reasons why real estate needs to be an integral part of your financial portfolio.
- It allows for diversification – You have probably received advice regarding investment, that you shouldn’t ‘put all of your eggs into one basket’, and this is very sound advice indeed. Financial advisers are always telling us that we need to invest in things like stocks, shares and even digital currency. These types of things can lose their value overnight, but there is much less chance of this happening within the property market. Property prices have been rising over the past number of decades, and there is nothing to indicate that it is going to stop.
- So many different options – Speaking specifically about Phuket, Thailand, there are many different kinds of investment opportunities for you. There are many different types of properties to spend your money on, including private residences and business properties. This destination is very popular with holidaymakers, so it might make sense to invest in something like a villa or other property that can be rented for the greater part of the year.
- It will increase in value – This is a pretty bold prediction, but it is based on statistics over the past 25 years. The prices of properties have been rising all across the globe, and particularly in holiday hotspots like Phuket. Everyone wants to get the best return on their overall investment, and the rental opportunity is immense. In many cases, people who invest in this type of property are able to pay off their mortgage in record time due to the rental income.
- There may be tax benefits – This really does depend on your country of origin, but you definitely can enjoy some tax breaks from the Thai government. There will be costs involved in maintaining the property, and this will help to reduce your tax liability. If you want to take out some kind of mortgage here in Thailand to pay for the property, then the interest paid on that can be claimed back. There may be other expenses involved in taking care of your rental property, and these are tax-deductible as well.
- You can invest further – If the rental earnings from your first property are very lucrative, you might want to think about purchasing another property as well, to increase your property portfolio. In many cases, the rent exceeds the mortgage payments, and you can reinvest this money back into the property or use it to buy another one. Before long, you might be receiving rental property from two or more sources, and this can only be seen as a very positive outcome. When the time comes to sell the property further down the line, you can be pretty sure that it will have increased in value over that time.
There is actually no doubt that owning a property is a sure sign that you’re going to have a strong financial future. It’s all about increasing your overall net worth, and there are many opportunities in Thailand to do that very thing. It’s time to start investing in property today and striking while the iron is hot, before the opportunity passes you by.
