by Rachel Nabers, Contributing Editor
Many Wall Street investors are feeling that 2016 is off to a shaky start. The S&P 500 is down 9% year-to-date, the most unstable January for the market in recent history. Declining numbers in the stock market are causing some of the largest firms on Walls Street to revise their annual forecast with much lower projections. The storm is brewing for bear markets and the outlook is not good.
George Soros said: “I would say it amounts to a crisis. When I look at the financial markets there is a serious challenge which reminds me of the crisis we had in 2008.”
The recent downturn in Wall Street has many investors wondering where they can go to protect their assets and continue to plan for their retirement without the roller coaster ride of the stock market.
Investopedia calls Real Estate the Number 1 alternative asset. For many Americans, their nest egg and much of their savings is in their retirement account, and they don’t have tens of thousands of dollars lying around for an investment property purchase.
By using Solo 401k, you can invest directly and hold the investment property inside of your retirement account, which allows your profits to grow completely tax-free. This is the easiest way to capture the law of compound interest for big gains in planning for your retirement and financial freedom.
Run of the mill Stock brokers might offer you a REIT (Real Estate Investment Trust), which can give you access to various pieces of property packaged up in a security product, like a fund. The trouble is, the returns are often much lower, the risk for a crash is higher since you’re technically still in the stock market, and you’re not a direct owner of the property.
Investing in real estate is not for the faint of heart, and with mentorship, many get net 10% returns year over year easily.