TR_Jan_Feb_2022

INVESTOR RESOURCES

SENIOR LIVING

ADemographic Shift Prime for Investment WHICH STRATEGY IS GAINING MOMENTUM?

by Isabelle Smith, Residential Assisted Living Academy

ith inflation on the rise and uncertainty growing, investors

Real estate makes sense, and for most, it is a tried and true point of stability. However, real estate is a highly leveraged asset, albeit a profitable one historically. It still involves a certain amount of risk, leveraging a high amount of debt for an asset that essentially produces nothing. This can be great when markets are stable and inflation is minimal, but what about when conditions aren’t ideal?

What if there was a way to com- bine the relative stability of real estate with a profitable business that produces a good or service? There is an investment strategy that is gaining momentum, and it’s not based on market fluctuations, but directly connected to demand; more specifically, demand based on demographic changes in the nation. And one particular demographic group has stood out for years due to its sheer size.

W

look to the horizon, watching for patterns and identifying changes that point to opportunity. The desire to diversify amid growing market concerns is noth- ing new. For years, investors have looked for the best methods to increase return on investment while ensuring that their assets were diverse enough to weather any bumps in the market.

66 | think realty magazine :: january – february 2022

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