According to Paul Gabrail, real estate should be part of any serious investor’s portfolio. Gabrail is a seasoned value investor from Summit County, Ohio. He revels in teaching the correct mindset, emotions, and processes required to follow in his illustrious footsteps.
The Buckeye State-based value investor founded Everything Money, a disciplined investment education YouTube channel focused on helping people build long-term wealth through stocks, real estate, and business development opportunities.
What follows is a closer look at exactly why real estate should form an integral part of any investment plan going into 2025 and beyond, courtesy of the Everything Money host.
Remove Emotion From the Equation
So, why should real estate be a part of any savvy investor’s plans right now? Expert Paul Gabrail says that the biggest mistake that many investors make is watching their investments go up and down daily. Doing so causes people to make highly emotional decisions, usually selling at the wrong time and buying at the wrong time.
Unlike other forms of investment, real estate has no set price listed on a particular property to determine its value on a given day. This simple fact prevents real estate investors from watching their investments go up and down on a day-to-day basis.
Furthermore, Gabrail points out that it’s much harder to sell real estate than traditional stocks. So, investors are much less likely to sell on a whim. The same also works in reverse, making whim purchases less likely.
Benefits Beyond the Basics
Investing in real estate can help reduce the emotional influence often present in other types of investments. According to Paul Gabrail, real estate offers what he describes as a “forced savings plan.” Investors may gradually build equity by paying down debt while receiving rental income that has the potential to grow over time.
Gabrail suggests that, over the long term, real estate investments might offer returns comparable to the S&P 500, even if cash flow only breaks even. Additionally, real estate investment often includes valuable tax advantages that can benefit investors throughout their journey.
However, one obstacle that often prevents prospective investors from diving into real estate is management.
Handling Management
Everything Money host and founder Paul Gabrail makes no bones about the fact that handling the management aspect of real estate investments can be an issue. Management is often seen as the worst part of real estate investing, and not without reason. Yet, the Ohio-based value investor reports that it’s rarely as problematic as people believe.
What’s more, where an investor would prefer to avoid handling day-to-day management of a property of properties, it’s easily outsourced. Merely factor in this additional cost at the outset if it’s a concern. Beyond that, real estate can be a valuable addition to a long-term investment strategy, whether or not investors choose to handle property maintenance themselves.
For Gabrail, the biggest reason to invest in property is that it prevents spur-of-the-moment emotional decision-making from buying or selling. At the same time, it allows investors to keep compounding, tax-free, for extended periods while remaining firmly invested, even through the inevitable ups and downs.
Disclaimer: This content is for informational purposes only and is not intended as financial advice, nor does it replace professional financial advice, investment advice, or any other type of advice. You should seek the advice of a qualified financial advisor or other professional before making any financial decisions.
Published by: Josh Tatunay
