Featured | Strategy

Your Why Behind Investing and Your Personal Financial Goals

MARCH 08, 2024
Written by John Makarewicz

When it comes to making investments, the guiding star should always be your ‘WHY’.

It is the foundation of your investment strategy and informs the decisions you make along your financial journey. Are you creating a nest egg for retirement? Dreaming of purchasing a vacation home? Perhaps your sights are set on a steady passive income stream to fund a comfortable retirement. You might be looking to fund a new business venture, or perhaps your ambition leans towards philanthropy, using wealth for charitable donations. Every investment you make should align with personal financial goals.

The beauty of investing lies in the diversity of options and strategies available to meet varying financial objectives. All financial planners recommend a diversified investment approach. Do you have real estate in your portfolio?

 

 

When investing in real estate, there are three core strategies you might consider:

investing in real estate

1. Investing for Cash Flow: This strategy prioritizes properties that generate a steady, reliable stream of income, often through rental returns. It’s a fantastic strategy for those looking for an additional income source or to fund their retirement.

2. Investing for Appreciation: Here, the primary goal isn’t immediate income but the potential for the property value to increase over time. Properties in rapidly growing or developing areas often fall under this strategy. The end goal? To sell the property at a higher price than what you initially paid.

3. Investing for Cash Flow and Appreciation: The hybrid approach. This strategy seeks to gain the best of both worlds, combining the steady income from rentals with the long-term property value increase. This is the approach we employ at Faris Capital Partners.

 

 

Why Real Estate?

why real estate

Simply put, it is a tangible asset that appreciates over time and simultaneously produces income. Unlike stocks, bonds, or mutual funds, real estate provides a sense of security and control as you can physically see and touch your investment. Furthermore, it is a reliable hedge against inflation. As the cost of living increases, so does the value of the property and the rental income created from it.

The magic of real estate investment lies in its flexibility. No matter your financial goals or personal ‘why,’ real estate offers a pathway to help you achieve those goals. So, as you take these steps into the world of multifamily apartment investing, remember to keep your ‘why’ at the heart of it all. It’s not just about building wealth; it’s about building the life you want to live.

 

 

In conclusion, investing in real estate is not just about wealth accumulation; it’s about aligning your financial actions with your personal aspirations. Whether aiming for retirement security, a vacation home, starting a business, or philanthropy, real estate offers a tangible path to achieving these goals. By selecting the right strategy—cash flow, appreciation, or a blend—you’re investing in your future and fulfilling your personal financial objectives. Remember, your investments should reflect your ‘why,’ guiding you towards not only financial success but a life that embodies your values and dreams.

 

 

Explore Opportunities with Faris Capital Partners. Click here to arrange a discussion with our Investor Relations team and learn more.

 

Are you curious about what sets Faris Capital Partners apart? Download our information booklet to explore how we make it all possible and create value for our partners. Click here to access the booklet!

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