Compounded Growth with Property

Compounded Growth with Property

Let’s make a simple comparison between a registered investment fund and a WEALTH MASTERS TYPE entry-level townhouse in a security complex. Let’s assume capital growth on both is 10% per annum.

THE FUND

If you invest R1m in a registered fund and it grows with 10% p.a., you’ll have R1.1 million after 12 months. If you withdraw the growth, the withdrawal is taxable and your investment value drops from R1.1 back to R1m. In the next 12 months, your investment will grow to R1.1 million again.

THE TOWNHOUSE

If you invest R1m in a townhouse and it grows with 10% p.a., you’ll have R1.1 million after 12 months. If you withdraw the growth with refinancing, your withdrawal is tax free and your investment value is still R1.1m. In the next 12 months, your investment will grow to R1.21 million – and don’t forget, if it is a Wealth Masters type of property, the rent you receive every month covers all the cost!

CONCLUSION

Within one year, property already beats the fund by far.

In spite of the annual capital growth withdrawals, the property value grows every year while the fund investment value stays the same because of the taxable capital growth withdrawals.v

Property investment gives cash flow and continuous capital growth year after year!

Now I ask this;

WHY ON EARTH ARE PEOPLE PUTTING MONEY IN A FUND?

WHY ARE PEOPLE FOLLOWING THE ADVICE OF SO-CALLED REGISTERED FINANCIAL ADVISORS?

Authorised Financial Service Providers (FSP’s) will never advise you to invest in townhouses. However, with the commission they get from you, they join our club and buy townhouses themselves!

Makes you think, doesn’t it?
Maybe it’s time to attend a Wealth MastersClass!

See detail on www.WealthMastersClub.com