Why Cottages are a Bad Investment

Aug. 13, 2009 - PRLog -- The long awaited summer weather may be tempting some Canadians to join the ranks of those who own cottages. “I don’t think owning a cottage is a good investment,” says independent investor and personal finance author Gail Bebee. “If you love the cottage lifestyle, go ahead and buy a property by the lake, but don’t buy it strictly as an investment. There are better places to put your money to work.”
Here are some of the reasons Bebee thinks owning a cottage is not a good investment:
1.Real estate is illiquid, so your money may not be available when you need it.
2.The return on your investment is not guaranteed.
3.Ongoing costs (taxes, insurance, maintenance etc.) eat into your profits.
4.Cottages demand your personal time, especially for upkeep.
5.Transferring the family cottage to the next generation often results in family quarrels, or misery if the cottage must be sold to settle an estate.
For more information on the pros and cons of investing in a cottage or to arrange an interview, please contact:
Gail Bebee
Canada’s Independent Voice on Personal Finance
Personal finance speaker and author of No Hype—The Straight Goods on Investing Your Money
Tel:  416-733-0221
gbebee@nohypeinvesting.com
www.nohypeinvesting.com

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The Ganneth Company is a boutique Canadian publisher of fiction and non-fiction titles that reflect the Canadian experience. Our most recent title is No Hype –The Straight Goods on Investing Your Money by Gail Bebee.