Investing in real estate requires patience but the rewards are immense.Once you have invested a sum of money as downpayment for a property, it is possible to have two-fold gains from both capital appreciation and rental income.

The rental income is a good source of income to reduce or cover your monthly mortgage loan repayments, maintenance fees, property tax, fire insurance and all related expenses in this investment.

During the investment period, you are actually accumulating equity in an asset which is a good hedge against inflation.

However, do be aware that all markets are cyclical, and the real estate market is of no exception.In other words, if you have to sell your property at the wrong time, you could lose money!

Having holding power is therefore important to ensure that you can hold the property till it appreciates.While there is no guarantee how much your property will appreciate, it does offer long-term investors an opportunity to earn a solid return when the property appreciates due to inflation, population or economic growth.

By Eileen Tan and Ui Wei Teck, property investors and authors of Enjoying Mid-Life Without Crisis. This tip and dozens more are from their book.

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