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Investment property is real estate that an individual or entity owns without the intention to directly use it, but rather to benefit from its ownership.
Investment property is not directly used or inhabited by the owner. Its purpose is to provide income through rental or lease, or to be sold at a later time after the property has appreciated. Sometimes this involved building upon the property, or otherwise renovating or improving it. The property might be commercial or residential, with multiple tenants or a single one.
Sometimes people form LLCs or other entities to invest in properties together, but people can also invest in REITs (Real Estate Investment Trusts), which have a lower initial investment cost, in general, and allow investors to participate in an entire portfolio of real estate investment properties.
Like LLCs, REITs are pass-through entities. It is possible to hold investment property within a self-directed IRA, but there are guidelines which must be followed, and often the red tape deters those who might have been interested.
Generally investment properties that pay income will be taxable to the investor year after year, but when properties are sold, it is possible that they are eligible for a 1031 exchange, which allows them to defer taxes on the gains if they immediately invest in another substantially similar type of property.
Successful asset allocation will cater to the risk tolerance and goals based on past performances while seeking gains
One simple way is to purchase the stock of companies that produce commodities. The primary commodity exchange is the CME
The contribution limits of 401(k)s are generally increased year-to-year and published by the IRS
A Traditional IRA holds money tax-deferred until retirement. An IRA is an account with tax-deferred growth of assets
Enterprise Value is the total cost to acquire a company. Enterprise value and its ratios can be used to compare companies
Swing trading is active trading that is not frequent enough to be categorized as day-trading
Momentum investors usually have their own models for determining whether they think a price trend (to the upside or...
Agencies are created by the federal government to fulfill an obligation that is in the best interest of the country
Commodities Futures are one of the most highly traded securities in the world. There are trillions of dollars in trades
Total Return is the measure of all appreciation & interest as well as dividends & other distributions from an investment