If you happen to be beginning real estate investing you should know that there are both pros and cons to this strategy. So, what are they? Well you have come to the right place.

Here is a brief summary of what the advantages and disadvantages of becoming a landlord actually are.

Here are the major benefits of this strategy.

1.Rent Money

Of course one of the main benefits of real estate investing is that you get a money every month that you have a tenet renting out the place. This can lead to a passive income stream that is only going to grow as you raise the rent in the future to account for inflation.

2. The House Appreciates Over Time

Houses are valuable assets. As land becomes more scarce houses will appreciate over time and landowners should benefit from this. In fact historically landowners have been the richest people in the world in part because the land keeps appreciating.

Investing into real estate also comes with its share of disadvantages.

1. A Tenet May Not Pay

What do you do when your renter stops paying? It actually happens. When people are in times of hardship one of the first things that they stop paying is their rent. Of course you can evict them, but it may take a while to get somebody new in there.

2. Damaging the Property

Tenets might also damage the property. If they do you'll have to repair it. A lot of tenets really don't care about their rentals and any damages that it might get as much as the person who actually owns the house.

What can you do about these two problems? One thing you can do is to create a lease to own agreement instead of simply renting out the property. This way the tenets feels like they own the property and will take better care of it and pay the rent.

Real Estate investing really can be a great way to build your wealth and get some extra income. It should be something to take into consideration when planning your financial future.