You’ve worked hard your entire life and now it’s time to sit back, relax and let your money work for you. In what we would consider a turbulent world, the stock market and real estate sector have seen tremendous growth as of late. A lot of people, including senior citizens and retired individuals, are taking full advantage of the current state of the economy and thriving with their investments.
Investing In Real Estate
Any savvy investor knows real estate is one of the best things to invest in. Whether buying property for yourself, flipping a house or renting out a home, real estate offers an abundance of wealth with little upfront capital. For seniors specifically, you’re likely in a situation where your home is paid off and you have the capital to invest in another property. Or you’re living in a 55 and older community and have the assets to afford investing into another property. In either situation, real estate should be your go-to investment.
Single family homes and apartments have the best value to turn around and rent to tenants. You can easily find FHA, conventional or VA loans to provide a competitive interest rate and only be required to put down a few thousand dollars. Once the property is ready to rent, you’ll quickly recoup your initial investment and then profit from the monthly rent. Your only monthly expense at that point will be for a property management company like Home River Group.
Townhouses & Condos
Townhouses and condo complexes are another investment gem. Here you will likely be able to purchase multiple properties and then profit even more. Keep an eye out for new construction condos and townhouses as they have the most potential for return.
With a little upfront investment, you’ll be flush with cash no time.
Stocks, Bonds or CDs?
Wall Street has been booming since the onset of the pandemic. Large tech companies like Apple and Tesla have grown their stock price through the roof and many investors are benefitting. For retired seniors, having a wealth manager who is on top of the market is key to your success. A wealth manager should be able to advise you on the best strategies for stocks, bonds, certificate of deposits and any other investing options you should be taking advantage of.
Certificates of Investment
A traditional broker with Edward Jones or Charles Schwaab will advise you on the stocks and bonds they know the best. But did you know you could be investing in a fixed rate fund with little volatility? Certain investment firms offer a Certificate of Investment fund with tremendous returns. The required upfront capital is a bit more, but the returns will get you exactly where you want to be.
Don’t Sleep On Tech Companies
The pandemic has proven that technology isn’t going anywhere. Big companies have improved their technology throughout the pandemic to have more stability and be able to offer products to customers in more efficient ways. Just think how food delivery businesses like DoorDash and GrubHub have grown their services in the past year. The good news here is that it offers you a chance to benefit from a company’s technological advancements.
If you’re working with a financial advisor, ask them to identify high growth tech companies you should be investing in.
Where To Start
If you’re a retired senior with money burning a hole in your wallet, real estate and the stock market are where you will want to turn. Start researching properties for sale through sites like Zillow or The Lynne Koy Group and make a list of properties you would consider investing in. Be sure to schedule a meeting with your financial advisor and determine where you should try to invest in the coming year. While we recommend investing in tech companies actively growing on Wall Street, your advisor may suggest otherwise.
If you started making investments in the new year, let us know how it’s going in the comments.