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Showing posts from August, 2021

Good property management companies are worth their weight in gold

Real estate might not be that passive One of the biggest differences between stock market investments and owning real estate is that real estate is much more work. With the stock market, one of the best strategies is to keep regularly buying more shares of a diversified fund, and that’s it. You don’t need to sell (and you shouldn’t really!) and there is no need to spend a lot of time researching if you found the right diversified fund (e.g. VWCE) With real estate, the buying itself is a lot of work and that is usually just a beginning. Unless you buy the place rent ready, it needs to be renovated. You need to find the right tenant, which includes advertisements, tenant verification, showings and so on. Once you have a tenant, things sometimes break and you are the one responsible for fixing them. When the tenant leaves you need to check the state of the place, clean it and do any necessary repairs and find a new tenant again. It’s a lot of work and small things add up. Especially if yo