What are the possible demerits of real estates investments

[Stardom22]

One of the major challenge for the real estate investments module is that it requires a larger amount of capital to start up. What are the other possible demerits?

 

[Magnus2022]

I don't think there is any other disadvantage except the huge capital you need to start up the investment. Real estate is highly profitable business but you need huge capital to start the investment

 

[flower]

One of the disadvantages of a real estate investment is that it requires huge capital if you really want to make a good income from it.

 

[Niyi Briggs]

I have tried to find out if there is a disadvantage of investing in real estate. I have found none. Just invest there and watch your finances grow.

 

[nomad]

You need a huge investment, even when you want to invest through a bank loan (you need 20-30 percent down payment). This is the biggest challenge of real estate investment.

 

[eldavis]

When it comes to real estate, choosing the wrong location could make you loose out. I know of someone who invested in a building but could not sell or rent it cause the road leading to the property was usually too bad during the raining seasons.

 

[Suba]

Based on my experience, there are several drawbacks when we invest in real estate, apart from requiring large capital, at this time we need emergency funds, real estate cannot be cashed (sold) quickly at market prices, besides that we have to pay maintenance costs to keep real estate from being damaged.

 

[flower]

I do not see any much risk in real estate investment but I think it is a good way to make money.

 

[Springtime]

Investment in real estate requires a lot of money. Other than that, during economic downturn or in periods of political instability, the value of your property may depreciate. In serious cases, banks may call loan, demanding full payment of your mortgage loan.