There has been a lot of talk recently about how many investors are eschewing some of the more traditional investment strategies in favor of a focus on private equity. While the traditional approach to long-term investing once followed the 60/40 model in which equity made up the larger portion while bonds and cash made up the lesser portion, there seems to be a shift in which investors are placing 80 percent or more in equities due to the current low-interest market environment.
As a means to achieve diversification in an investment portfolio, a real estate property investment is an excellent choice due to the fact that there is not much correlation between the viability and value of real estate and the fluctuations bound to occur in the stock market. As agents working with clients secured through BoldLeads often point out, investing in real estate as a potential source of retirement income requires much more effort than some of the more traditional types of investment. It is therefore up to each individual homebuyer to ensure they understand their responsibilities if they intend to make an investment in a rental property.
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