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Fri, February 21, 2025

Adding Private Real Estate To Your Portfolio: Considerations For Investors


Published on 2025-02-21 08:01:11 - Forbes
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  • In some ways, real estate investments are the least alternative of "alternative investments" because investment properties can generate income, like stocks can pay dividends. Real

The article from Forbes Business Council, published on February 21, 2025, discusses the considerations for investors looking to add private real estate to their investment portfolios. It highlights the benefits such as diversification, potential for high returns, and a hedge against inflation. However, it also outlines several key considerations: the illiquid nature of real estate investments, which can tie up capital for extended periods; the need for substantial due diligence due to the complexity and variability of real estate assets; the impact of leverage which can amplify both gains and losses; and the importance of understanding local market conditions, property management, and regulatory environments. The article advises investors to assess their risk tolerance, investment horizon, and liquidity needs before committing to private real estate, suggesting that while it can be a valuable addition to a portfolio, it requires careful strategic planning and possibly the guidance of experienced professionals.

Read the Full Forbes Article at:
[ https://www.forbes.com/councils/forbesbusinesscouncil/2025/02/21/adding-private-real-estate-to-your-portfolio-considerations-for-investors/ ]
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