Tailoring Your Real Estate Investment Strategy

In advising real estate investors like you for over twenty hears, we have observed some clear patterns in investment strategies across different life stages. Every investor is different but here are things we noticed between those who focuses on appreciation versus cash flow.

For Retired or Near-Retirement Investors:
We’ve observed that investors in or approaching retirement typically prioritize steady rental income. This strategy offers:

  • Reliable cash flow to supplement retirement funds.
  • Lower risk compared to appreciation-focused investments. They would rather have income today versus some future appreciation that is not guaranteed.
  • Potential tax benefits through rental income deduction.
  • Retirees also want to enjoy their time and are open to investments that require less time and management. Examples of steady income investments with no management responsibilities are Delaware Statutory Trust Funds and Triple Net Commercial Properties.

For Younger Investors in Prime Earning Years:
Our younger clients often lean towards appreciation-focused properties. This approach can provide:

  • Potential for significant long-term wealth accumulation. A good example of an appreciating property is a single family home.
  • Opportunity to leverage current income for future gains.
  • Owning highly appreciating properties today can be Exchanged for high income producing properties in Retirement. A good example of highly appreciating properties are single family homes or small multi-unit apartment buildings.

Keep in mind that above are only general rules and observations. In other words, your ideal strategy should align with your unique financial goals, risk tolerance, and market opportunities.

SIFF Investment Services Team

About SIFF

For over 20 years SIFF – Strategic Wealth Advisors Specializing in Real Estate Investments – has provided unbiased, fee-based real estate consulting to disrupt outdated real estate models. We are not realtors or agents. Our role is to educate and empower clients by objectively outlining all options. Our fee-only structure allows us to put client interests first. By taking an unbiased, consultative approach, SIFF aims to help clients prosper through wise real estate investments.

Call: 1 (415) 601-1051 | info@siffinvestment.com