Some feel that saving money in the bank is a good strategy to building wealth. Though, it is very good to save, it is not a good wealth building strategy. The gains of real estate investment far outweigh that of saving in the bank for the following reasons:
1. Currency always diminish in value while real estate appreciates:
2. Return on savings is infinitesimal while returns on real estate investments are huge
3. Your money in the bank simply makes the banker richer while your money in real estate makes you richer:
4. Expenses always arise to deplete your savings but your property is always there appreciating in value
5. None of the rich ascribe their success in gathering wealth to saving but most of them have impressive property portfolios (more than 90% of them)
Now you know, It's time to act. Saving money in the bank is a great way to prepare for the rainy day. However, it's not a good wealth building strategy because of the following reasons: (continued)
Expenses always arise that will deplete savings. Whereas with Real estate the value appreciates continually, even if you decide to sell not long after purchase, you can be sure that your investment will have made some profit.
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