AIPIS.orgOne of the first things realtors pursuing an Accredited Income Property Investment Specialist (AIPIS) certification learn is that investing in income property is a different way, though wildly more profitable, way of investing in commodities. Commodities like copper, wood, cotton, petroleum, steel, etc., are the building blocks of what? Houses! You could focus on the old fashioned way of investing in commodities via the designated exchanges that buy and sell the stuff, or you could fully engage the brain in your head and recognize that simply buying a commodity in its raw, basic form is a second class way of investing.

In all honesty, we should point out that at least it’s not a THIRD class investment, like most stocks, bonds, and mutual funds, but it still lacks several advantages that make income property such a hugely profitable return on investment, when done the right way, of course. There are no guarantees about how much money you’ll make on a specific property, but your chances are infinitely better than with other assets.

But why is 2011 going to be such a hot year for realtors to get their AIPIS certification and start reaping the rewards of recommending history’s greatest investment to their clients? The answer is simple. Countries like China and India have a middle class growing by leaps and bounds. Let there be no doubt the fuse to the population bomb is lit and the rocket is prepared to launch. What does this have to do with income property investing?

Only everything.

Follow our reasoning. Increased demand of a product causes the price to go up. This year, and going forward, expect the demand for building materials to experience a sustained upward push by all these new middle class families who want to own a house. Whether they build or buy, the result is the same: more houses and more commodities needed to build those houses. Shelter is a Universal Demand. The vast majority of us require some sort of roof over our heads, and we’ll pay whatever the going rate is to have one.

What does this suggest to the savvy realtor? Get started on your income property portfolio today because landlords tomorrow are going to be sitting in the proverbial catbird seat. Real estate done the right way always has been and always will be earth’s premier investment.

The AIPIS Team

AIPIS.org


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