3 Reasons for Owning Long-Term Rental Property
Appreciation
Real estate has historically appreciated in value over time, so owning a long-term rental property can be a great way to build wealth over the long term. While there are no guarantees that property values will continue to rise, many real estate investors have benefited from appreciation over the years.
Tax Benefits
There are several tax benefits to owning a long-term rental property, including the ability to deduct expenses like mortgage interest, property taxes, and maintenance costs. Additionally, you may be able to claim depreciation on the property, which can further reduce your tax liability.
Diversification
Owning a long-term rental property can provide diversification for your investment portfolio. Real estate tends to perform differently than stocks and bonds, so having some exposure to the real estate market can help spread your risk and reduce volatility.
