Generally, what is one major goal for real estate investors?

One major goal for real estate investors is creating a tax shelter. This is particularly important because real estate investments often provide various tax benefits which can significantly enhance an investor’s overall return on investment. For instance, through depreciation, property owners can deduct a portion of the property value from their taxable income annually, reducing their overall tax liability. Additionally, investors may benefit from capital gains tax advantages when properties are held for a longer duration before being sold, and 1031 exchanges can allow investors to defer taxes on capital gains by reinvesting the proceeds from the sale of one property into another.

This focus on tax efficiency is crucial for maximizing net returns, making it a primary goal for many investors in the real estate market. Other options presented do not align as directly with the fundamental financial objectives that guide real estate investment strategies.