A critical key to financial survival during a recession is to reduce the amount of high interest consumer debt you have. Crushing credit card balances can cripple you financially, as can a mortgage (that turns into a foreclosure) taken out with unsustainable terms based on your salary. Greed, indiscretion, and the desire to live a lifestyle you can’t afford is the trifecta bringing many Americans to their knees. The sucker punch of inflation only adds to the misery.
Maybe you’re one of the lucky (smart) ones not swimming in debt but still intensely aware that traditional Wall Street investments are not working out. What’s a plan for financial investing that works during a recession? Maybe you’re one of the really smart ones who has figured out that cash-based assets like stock, bonds, savings, and actual money are losers in the face of inflation. Call them today’s anti-investment because they actually only serve to devalue your nest egg rather than increase it.
What to do? At Solomon Success, we focus our investments during good or bad economic times on real estate, particularly income property investing. Speaking of the trifecta, we can name three reasons real estate has always been the choice for the savvy investor.
1.Cash flow from renting out your property
2.Asset increases in value over time
3.Incredible tax benefits
Compare this to stocks. You certainly can’t rent them out for cash flow, they may or may not increase in value over time, and there are very few tax benefits – only negative tax consequences. Seems like an open and shut case. For financial investing that works in this recession ridden economy of ours, choose the land beneath your feet.
The Solomon Success Team
Flickr / Rennett Stowe