Rental Property  - Here's what's good about having one ...

Owning rental property is a great way to create additional streams of income, save tax and have an asset that usually appreciates every year - possibly much faster than inflation.

Owning vacation homes - second or even third homes - is becoming common, and if the current real estate growth rates continue, then vacation properties bought now could become assets that appreciate consistently year after year.

Owning rental property

The advantages of owning income generating rental properties is clear ... you may get to make more money, save tax and have an asset that appreciates ... but owning rental property also requires a lot of work - selecting the right kind of rental property in the right neighborhood, renting the property to tenants who will maintain the property as good as they would have maintained their own home, and getting all the maintenance and repair work done on time.

But that's not all ... if you live too far away from your rental property then you might either have to hire a person to manage the property for you or find some other way of managing your property well. Typically, if you are going to be managing your rental properties yourself, then you might want to live as close to your property as possible.