In today's video I discuss two types of appreciation - natural appreciation and forced appreciation.
Most people know that property values tend to go up over time. However as a real estate investor you don't want to count on this natural process as your main strategy for making money. Typically natural appreciation takes a long time to be realized and it is mostly out of your control. If you decide to sell during a time when appreciation is slow or negative then you
Thankfully there is an alternative - forced appreciation!
That's where you make improvements to the property so that it is more useful and more attractive. The improved property will be more valuable to your residents and to future buyers.