PHILADELPHIA, PA, January 09, 2013 /24-7PressRelease/
-- In recent years, many Americans have grown increasingly skeptical about their own long-term financial stability, due in part to market tumult, and in part to ongoing concerns about the future of Social Security. According to a recent CNBC article, many Americans are turning to unorthodox methods for fortifying their own retirement accounts--including real estate investment. The article reports that some Baby Boomers and pre-retirees are turning to second homes as solid long-term investment opportunities, a trend that has captured the attention of real estate acquisition and development expert David Lichtenstein
David Lichtenstein is the founder of The Lightstone Group, and a leading name in commercial real estate and acquisition. He is equally passionate for sharing his real estate expertise with novice investors, and as such he has issued a press statement, commenting on the CNBC article.
"The idea of purchasing a second home, in the interest of long-term financial stability, may seem counterintuitive at first, yet it is an approach that more Americans are beginning to see value in," comments Lichtenstein, in his new press statement. "The reasons for this are many, but chief among them are the historically low interest rates."
According to David Lichtenstein, however, real estate investment is not for everyone, and comes with many risks. "The CNBC article is correct in its assessment of what some of the risks and complicating factors are," he offers. CNBC notes that, for investors looking to rent their second home and earn revenues, cash flow is only attainable if the home is "free and clear" of a mortgage, or if the investor plans to ultimately live in the house one day as a primary residence.
"Renting out a property can be a possible source of revenue, but this makes little sense if you are still paying a mortgage--or worse, paying two," Lichtenstein offers.
The CNBC article notes that there is "nothing passive" about buying and then renting out a piece of real estate, and that potential investors are prudent to receive a good business education before they make this commitment. "It is important to view it as a business," Lichtenstein says. "If you are the landlord of an investment property, then you are in business for yourself, and must attend to the needs of your business daily."
David Lichtenstein is a professional with years of experience in real estate acquisition and development. He founded The Lightstone Group in 1988, and since that time has risen to a role of prominence in the real estate investment industry.
is a professional with years of experience and immense expertise in the fields of real estate acquisition and development. From the formation of The Lightstone Group in 1988, Mr. Lichtenstein has consistently pioneered in the manner in which he has built the company's portfolio of assets, both in terms of financing and in his view of creating property value. Lichtenstein is also an investor in biotechnology, as well as an advocate on behalf of various medical schools and colleges.