Investors have a primary goal… to make a return on their investment (ROI).  ROI can be measured through careful analysis of financial statements and a concrete result will be achieved under such anaysis.  Before an investment purchase, we at ERealInvestor try to help you with your purchase decision by arming you with scenarios to help you measure your possible ROI with the ease of push-button analysis.  Something many investors do not measure however are the non-monetary benefits of owning investment property.  The other benefits may not put cash in your pocket, but may have a major impact on your “mental portfolio”.

1. Pride of ownership–a psychological benefit to owning rather than
   renting. It is reflected in well-maintained property. A price cannot
   be attached to this subjective value, and its importance will vary
   from person to person.
2. Diversification–risk management technique, related to hedging, that mixes a wide variety of investments within a portfolio. It is the spreading out investments to reduce risks.
3. Leverage–investing with borrowed money as a way to amplify potential gains.
4. Tax advantages–Tax advantage refers to the economic bonus which applies to certain accounts or investments that are, by statute, tax-reduced, tax-deferred, or tax-free