Spread the Wealth: What a Condo Investment Does for Your Portfolio
Date posted October 28, 2019
Diversification is the key to maintaining a strong investment portfolio. It’s typical for your holdings to sometimes fall short and at other times do well, depending on how the market performs. But limiting yourself to a single asset type, stock, or industry could also affect your portfolio because it creates risks that may lead to a major financial loss.
In distributing your investments to different assets, sectors, and industries, you’re creating a safety net for your portfolio. A diverse portfolio of investments gives you the ability to offset risky choices with dependable ones. In doing so, you can avoid losing the entirety of your investments from a poorly made decision.
Real estate is a popular choice for diversification. Beginners and veterans of the game invest in different properties for its resilience, dependability, and high capital appreciation. This tangible commodity has big ROIs that will start showing as early as the day you make the down payment.
Aim for the Sky: The Advantages of High-Rise Properties
High-rise properties are sought-after by investors. Condominiums, in particular, are gaining popularity for their design, affordability, and location. So the pre-selling of condos from Capitol Commons to Ortigas East is a common sight. These high-rise properties, influenced by the influx of professionals moving to the city, have features that are attractive selling points that make them smart investments.
What else do condominiums contribute to your portfolio?
Market Stability
The country’s real estate market continues to experience a steady growth rate. This is especially true for properties in urban areas. As the population grows, the demand for affordable housing will as well. Investing in a condominium in or around central business districts (CBDs) ensures the stability of your asset. Even if there is a property bubble in a specific city, this will rarely affect other locations.
Property Appreciation
Investing in real estate requires patience and trust. Price depreciation and dips in demand will occur. But the market's resilience has proven that these are only temporary. Once they pass, prices will go back to normal and your property will experience a positive appreciation. Moreover, you can increase your property’s value by adding improvements or modifications that make it a desirable living space.
Tangible Asset
As a tangible asset, your real estate investment will be in your portfolio as long as you hold onto it. You can also easily leverage it across different revenue streams. When located in a popular area, you can rent it out for passive income or sell it for a larger, one-time profit.
When you don’t put all of your eggs in one basket, you prevent a potential loss. And using real estate to diversify allows you to reduce your portfolio’s volatility. With the right investment, you’re also likely to get a better return.
But the key is choosing the ideal property at the right time.
Why You Can’t Go Wrong with Ortigas & Co.
Ortigas & Co. is pre-selling premium condos in prime locations. The Maven at Capitol Commons has 62 stories of beautiful living spaces and unique facilities designed for future residents who want to pursue their passions.
Get in touch with us today for any questions about our properties.
