The idea is dreaming: you no longer have to work to pay the bills. It’s no longer dependent on a boss or management, and maybe even limited hours. Above all, give yourself time to truly live your life, and offer yourself some freedom to move and work, thanks to passive income or a truly exciting personal activity. This dream, this goal is achievable: here are some serious paths to take to hope you never run out of money, live your life, and why not get rich!
Investing in real estate to achieve financial independence
It’s about buying a product, in order to rent it out for short periods, which can range from a few days to a few weeks. The target customers are as follows: tourists, or professionals who travel for work. These can range from city apartments, from studios suitable for a single person who need urban facilities and proximity to their professional obligations, to large family apartments.
They can be comfortable homes, in a particularly touristy area, with space and comfort.
In all cases, it must be furnished and the law regulates the minimum equipment that must be provided (Law ALUR, Decree No. 981-2015 of July 31, 2015).
So, this brings some upfront costs and also to make the rental contract attractive.
The cost can be very interesting: Day or week pricing allows for regular acceptance and immediate income.
However, for this to happen, the rental has to be busy: it is therefore essential to ensure that it is promoted, offered, and maintained, so that clients can accurately rate and recommend you.
Rent or shared housing
Rental investment is a medium and long term solution that can be very profitable. The initial purchase must be prepared carefully. It is necessary to evaluate the usefulness of the lease agreement to compare it with the initial costs incurred.
In part, this depends on your goals, which may be as follows:
Enjoy additional income
Building a legacy, leases and monthly loan payments
Achieve rental income by accumulating rental income
The last option is a popular way to build passive income. This can be great if you are renting out several properties.
The advantage of renting many properties is that it gives you some security in the event that the tenant has difficulties in paying. You can also play this argument in case you open up the possibility to display your property in a shared residence.
Renting a property allows you to get the most profit, especially in the long run, regardless of whether you are reselling the property (ideally with added value) or not. Finally, it is a way of securing an annuity and a pension.
– Residential Buildings
Here is a solution that can be very profitable if you have an initial capital to invest. The idea is simple: not to buy one unit for rent, but to buy an entire building with multiple units, all of which are available for rent. Some tenants, one owner: you.
It is a great way to gain financial independence.
There are also immediate benefits:
Unique bank and notary fees
Lower price per square meter compared to purchasing separate spare parts
There is no need for a trusted partner owner and one career decision
Reducing property tax
The possibility of grouping the possible jobs
Mechanically, the benefit turns out to be greater: in fact, if costs decrease due to the effect of ‘group buying’, the rents remain as if the pieces were split up.
Alsosht is also a great way to spread bad debt risk.
Of course, this can only be achieved with a little experience and above all initial capital. It is also essential to ensure that you maintain a strong cash reserve in order to handle work that could be much greater than if you only owned one part (especially if it related to the building).
As a last resort, there may be a resale feature: you will sell the parts more separately than a group purchase. It’s enough to get rich and reinvest!
Repurchase your purchase
An option that does not require managerial talent but a nose and expertise: buying items for the sole purpose of reselling them.
Three scenarios are possible:
Live in property, in primary or secondary housing. Then there is the issue of “sniffing” the market, in order to buy at the lowest level and resell at the highest level. It is therefore necessary to ensure optimal purchase conditions (cheap loans and insurance), because do not forget that it is an investment.
Buying a property with key functions, realizing them by controlling costs and reselling them with added value. Set this up, we need to find the right good at the lowest possible price and implement a profitable business package before a successful resale.
End-of-market buying, rental of property (including in the short term) with positive resale growth forecast.
Reselling real estate takes patience and good judgment, but it is still a very safe and profitable practice in the long run.
Investing in the stock market: two strategies
Do you have capital and want to diversify out of real estate? The scholarship extends its arms towards you and provides opportunities to achieve financial independence. Explanations.
Invest in dividend stocks
Here’s an interesting solution in the medium and long term. Buying shares, not for the purpose of reselling them, but in order to generate passive income through dividends.
In this case, it is advisable to be well aware of the upstream, because not all transactions are equal, as some simply do not pay dividends!
Some parameters must be taken into account:
View profitability. The higher the risk, the higher the risk, so be careful if you are looking for a long time!
Invest in high-quality businesses. The returns are often, at first glance less attractive, scalable. From 3% in the first year, you could end up back up to 8% ten years later.
Your startup capital and your goals for financial independence.
An accurate calculation of the risk / benefit ratio is essential: in the medium and long term, it is recommended that you invest your capital in average returns but develop returns in strong companies. This will ensure your security and regular passive income.
– Trade today
If you have a gamer and are looking for an immediate profit, you may be interested in buying and selling stocks at relatively high frequencies. This is called “day trading” and has dedicated platforms. These platforms provide useful training tools that allow you to gain experience.
Well done, “day trading” can pay off. You are offered to buy stocks at the lowest level and play in very fast market fluctuations often. In search of these fluctuations, you can resell them at the highest level.
Often the risk factor is very high, although the investment may be minimal. It’s kind of like in a casino: You can lose a lot, but you win a lot, too, very quickly with talent.
The shares offered are generally not dividend stocks, so it makes no sense to hold them for a long time.
This option is interesting if you have a small amount of capital to grow, however small enough to put into long-term operations. You can enjoy the “stock market” with a portion of your savings, but you can also consider spending time and more money, even if that means taking on some of the experienced risks. A good way to get into the mess of financial independence, and sometimes get rich quick!