Yahoo re-published a story today on the 20 year effect of real estate values in 25 major metroplitan areas around the U.S. I will give everyone one guess as to the outcome! For real estate investors who bought discount properties in the early nineties, they have seen huge increases in value, but more importantly, many have seen tenants pay off their notes and today are earning montly cash flow on free and clear properties! At MemphisInvest.com we have been investing and assisting others to invest in not only a great market, but also with a great long term strategy. Afer all, real estate investing is still one of the best bets for building long term wealth.
Swedish appliance maker Electrolux announced a deal this week with Memphis City and Shelby County leaders to build a 700,000 square foot manufacturing facility in Memphis that will be fully operational by 2012. The new facility will employ 1,200 workers and it's suppliers and offshoot companies will add an addtional 2,000 jobs to the Memphis area. For Memphis real estate investors, news like this is music to our ears.
I talk to real estate investors every single week who are interested in investing in Memphis real estate with MemphisInvest.com for a lot of different reasons. Some of the most interesting investors I talk to though, are those who are highly diversified in other markets. They own stock portfolios or invest in Bonds and Mutual Funds. They have spent years with financial planners preparing for a day that now seems in jeopardy: Retirement! Most of these investors are turning to a tool that their "advisors" failed to teach them about - Self Directed Retirement Accounts. With the right real estate investments at all time values, the focus to investing in real estate with your retirement account could not have come at a better time.
It is funny sometimes to get the reactions of investors when they hear me talk about diversification in Memphis real estate because they are not used to hearing those terms come from real estate investing companies. Maybe from professional stock brokers or stodgy old men in black suits discussing the economy in terms most of us would never use. But in truth, diversification in your real estate portfolio is very important and can oftern mitigate the over all risk you take as an investor.
I spent some time in Colorado in the early 2000's and was pretty active in the real estate market at the time. One of the comments that we regularly heard was that "there is no more land being manufactured". Being land locked by the mountains, real estate was at a premium and investing was considered to be a sound long term investment.