Benefits you can get from Utilizing Real Estate Investment Loans in Houston TX

As an entrepreneur your business is working fine and profits are mounting. There comes a time when you realize the need to diversify your profits into investments more than just a savings account. Here investments into the real estate industry is a potential area. Think about borrowing a real estate investment loan in Houston TX for rental properties to build your business portfolio. You can always get easy loans from Capital Concepts—a hard money lending firm, and get to avail the below detailed benefits.

Cash flow

Most people invest in rental properties from the extra money they have left after paying all the bills and expenses. Borrowing a loan from bank or private money lender enables you to invest into a number of different real estate markets. The cash flow generated comes as an additional income you can always use in your business, travelling and other real estate properties. This cash flow is predictable far better than most other businesses. New entrepreneurs can always have a sense of financial security in times of business hardships and struggles.

Tax benefits

The earnings from rental properties avail far better tax benefits from government as compared to earnings of other businesses. Benefits like depreciation and significantly low tax rates on long term income, and not being subjected to self-employment tax are some of the core benefits real estate investors typically enjoys.

The loan pay down

Buying a rental property makes the tenant pay the actual mortgage amount each month, thus making you richer with each coming payment. The property acts as a savings account which grows automatically. For example, today you might owe $300,000, but after a year you might owe $295,000 because the tenant is bearing the payment for you. After around 20-25 years, whatever the term of your loan was, it is paid all down to $0. You own a wealthy asset that you can sell or continue renting, with all credit going down to tenant for paying the mortgage amounts.


Property values do tend to travel up and down over time due to inflation rates. However, utilizing a real estate investment loan in purchasing a property, and hence patiently waiting till the property value climbs up, can give you a significant return when you sell that asset. Pay off the loan and still you will be left with a nice amount of profit in your account.