Skip to content
  • About
  • Contact
  • Contribute
  • Book
  • Careers
  • Podcast
  • Recommended
  • Speaking
  • All
  • Physician
  • Practice
  • Policy
  • Finance
  • Conditions
  • .edu
  • Patient
  • Meds
  • Tech
  • Social
  • Video
    • All
    • Physician
    • Practice
    • Policy
    • Finance
    • Conditions
    • .edu
    • Patient
    • Meds
    • Tech
    • Social
    • Video
    • About
    • Contact
    • Contribute
    • Book
    • Careers
    • Podcast
    • Recommended
    • Speaking

Why doctors are increasingly investing in real estate

Naheed Ali, MD, PhD
Finance
July 20, 2022
13 Shares
Share
Tweet
Share

With many health care systems around the world an elaborate mess, real estate can be an efficient strategy for doctors to ensure their financial future after retirement. They can benefit from long-term appreciation and tax breaks by investing in real estate.

As economies and technologies continue to evolve, many physicians have started buying real estate for investment purposes. Some doctors choose to invest their money in real estate to diversify their portfolios.

Doctors are investing in real estate by purchasing office buildings or commercial real estate investment funds (REITs). It can be a lucrative investment for doctors to snag a few great deals on office buildings to own, lease, or manage their properties.

Real estate may also be an attractive investment option for doctors because of its low-risk profile. It’s a good way to capitalize on otherwise stale money while still keeping it all accessible. Plus, it is tax-free if and when certain requirements are met.

Tax-free real estate is any property owned by a doctor, therapist, psychologist, or physician and used for medical purposes. If you own a building and use it to treat patients and provide therapy services, you may be able to exclude the entire value of the building from your taxable income. This tax-free treatment doesn’t apply to other types of real estate such as land, homes, commercial buildings, or office buildings.

There are also other reasons why doctors may want to invest in real estate. Some doctors view real estate as an investment opportunity for the long term. Long-term real estate investment might be one of the most profitable methods to bolster savings. Investing in a property with long-term potential makes you more likely to profit in the long run.

Doctors are interested in real estate to accumulate wealth and improve their financial status. There are many ways for doctors to make extra money by buying, selling, or renting out real estate.

One of the main advantages of investing in real estate is that it can be a productive use of your time outright. Real estate investing is a good way to supplement income while learning new skills at home. They can work from home, meaning they don’t have to squander every waking hour at the office. Many doctors also enjoy the social facet of being part of a community, which can bring them closer to other members of their family or community.

If you’re a doctor interested in investing in real estate, do your research first. It’s important to keep in mind that there are many different types of properties to choose from. You’ll want to find out what type of property is most suitable for your needs before investing money in it.

By learning as much as possible about real estate investing, you can ensure that you’re making the right decision for your situation.

However, this all requires a lot of capital and real estate expertise. It is also important to remember that real estate isn’t for everyone. In addition to being risky, it can also be time-consuming and requires a high level of dedication and commitment beyond medical practice. If you’re a doctor and considering investing in real estate, you might want to catch all of the above before making any moves on the fly.

Naheed Ali is a physician and medical journalist.

Image credit: Shutterstock.com

Prev

A bullied medical assistant's tragic story [PODCAST]

July 19, 2022 Kevin 0
…
Next

The claims data dilemma: 4 things to consider

July 20, 2022 Kevin 0
…

Tagged as: Practice Management

Post navigation

< Previous Post
A bullied medical assistant's tragic story [PODCAST]
Next Post >
The claims data dilemma: 4 things to consider

More by Naheed Ali, MD, PhD

  • Why health care will never be the same after the COVID-19 pandemic

    Naheed Ali, MD, PhD
  • Trauma and burnout among frontline health care workers

    Naheed Ali, MD, PhD

Related Posts

  • Why social media may be causing real emotional harm

    Edwin Leap, MD
  • Here’s what Dr. Seuss can teach real doctors about burnout

    Stacey Searson, MD
  • Why do doctors who hate being doctors still practice?

    Kristin Puhl, MD
  • Doctors: It’s time to unionize

    Thomas D. Guastavino, MD
  • When doctors are right

    Sophia Zilber
  • We’re doctors. We signed the book.

    Jonathan Peters, MD

More in Finance

  • Retirement planning: Understanding sequence of returns risk

    Jordan Bilodeau, CFP
  • The short-term rental tax loophole: a game-changer for physicians

    Jeff Anzalone, DDS
  • Why every doctor should have a side gig

    Anonymous
  • Maximize your practice’s revenue: Follow these 5 billing metrics

    Aaron Morgenstein, MD & Heather Signorelli, MD
  • Character, not cash: the ingredients of a happy and meaningful life

    Miguel Villagra, MD
  • A physician shares his financial mistakes

    Varun Verma, MD
  • Most Popular

  • Past Week

    • Resetting the doctor-patient relationship: Navigating the challenges of modern primary care

      Jeffrey H. Millstein, MD | Physician
    • Nobody wants this job. Should physicians stick around?

      Katie Klingberg, MD | Physician
    • From physician to patient: one doctor’s journey to finding purpose after a devastating injury

      Stephanie Pearson, MD | Physician
    • An unspoken truth about non-compete clauses in medicine

      Harry Severance, MD | Policy
    • Fostering the next (diverse) generation of clinicians

      Imamu Tomlinson, MD, MBA | Physician
    • Healing through love and spirituality

      John T. James, PhD | Conditions
  • Past 6 Months

    • The hidden dangers of the Nebraska Heartbeat Act

      Meghan Sheehan, MD | Policy
    • The fight for reproductive health: Why medication abortion matters

      Catherine Hennessey, MD | Physician
    • The vital importance of climate change education in medical schools

      Helen Kim, MD | Policy
    • Resetting the doctor-patient relationship: Navigating the challenges of modern primary care

      Jeffrey H. Millstein, MD | Physician
    • Nobody wants this job. Should physicians stick around?

      Katie Klingberg, MD | Physician
    • Why are doctors sued and politicians aren’t?

      Kellie Lease Stecher, MD | Physician
  • Recent Posts

    • Rescuing primary care: the role of health administrators [PODCAST]

      The Podcast by KevinMD | Podcast
    • Breaking down barriers: How technology is improving diabetes management in underserved communities

      Anonymous | Conditions
    • From penicillin to digital health: the impact of social media on medicine

      Homer Moutran, MD, MBA, Caline El-Khoury, PhD, and Danielle Wilson | Social media
    • Healing the damaged nurse-physician dynamic

      Angel J. Mena, MD and Ali Morin, MSN, RN | Policy
    • How to overcome telemedicine’s biggest obstacles

      Harvey Castro, MD, MBA | Physician
    • Deaths of despair: an urgent call for a collective response to the crisis in U.S. life expectancy

      Mohammed Umer Waris, MD | Policy

Subscribe to KevinMD and never miss a story!

Get free updates delivered free to your inbox.


Find jobs at
Careers by KevinMD.com

Search thousands of physician, PA, NP, and CRNA jobs now.

Learn more

Leave a Comment

Founded in 2004 by Kevin Pho, MD, KevinMD.com is the web’s leading platform where physicians, advanced practitioners, nurses, medical students, and patients share their insight and tell their stories.

Social

  • Like on Facebook
  • Follow on Twitter
  • Connect on Linkedin
  • Subscribe on Youtube
  • Instagram

CME Spotlights

From MedPage Today

Latest News

  • Investigational ALS Drug May Have Clinical Benefit, FDA Staff Says
  • Cases of Deadly Fungus Tripled in Past Few Years, CDC Says
  • Small Gains in Cardiorespiratory Fitness Track With Improved Longevity
  • Improved OS With Hyperfractionated RT in Recurrent Nasopharyngeal Carcinoma
  • GPT-4 Is Here. How Can Doctors Use Generative AI Now?

Meeting Coverage

  • Rapid Improvement in Atopic Dermatitis With Topical PDE4 Inhibitor
  • New Approaches in the Bladder-Sparing Paradigm
  • Response Rates in Hidradenitis Suppurativa Continue to Climb With New Therapies
  • Another Win for a JAK Inhibitor in Alopecia Areata
  • Biologic Switch Revs Up Response in Plaque Psoriasis
  • Most Popular

  • Past Week

    • Resetting the doctor-patient relationship: Navigating the challenges of modern primary care

      Jeffrey H. Millstein, MD | Physician
    • Nobody wants this job. Should physicians stick around?

      Katie Klingberg, MD | Physician
    • From physician to patient: one doctor’s journey to finding purpose after a devastating injury

      Stephanie Pearson, MD | Physician
    • An unspoken truth about non-compete clauses in medicine

      Harry Severance, MD | Policy
    • Fostering the next (diverse) generation of clinicians

      Imamu Tomlinson, MD, MBA | Physician
    • Healing through love and spirituality

      John T. James, PhD | Conditions
  • Past 6 Months

    • The hidden dangers of the Nebraska Heartbeat Act

      Meghan Sheehan, MD | Policy
    • The fight for reproductive health: Why medication abortion matters

      Catherine Hennessey, MD | Physician
    • The vital importance of climate change education in medical schools

      Helen Kim, MD | Policy
    • Resetting the doctor-patient relationship: Navigating the challenges of modern primary care

      Jeffrey H. Millstein, MD | Physician
    • Nobody wants this job. Should physicians stick around?

      Katie Klingberg, MD | Physician
    • Why are doctors sued and politicians aren’t?

      Kellie Lease Stecher, MD | Physician
  • Recent Posts

    • Rescuing primary care: the role of health administrators [PODCAST]

      The Podcast by KevinMD | Podcast
    • Breaking down barriers: How technology is improving diabetes management in underserved communities

      Anonymous | Conditions
    • From penicillin to digital health: the impact of social media on medicine

      Homer Moutran, MD, MBA, Caline El-Khoury, PhD, and Danielle Wilson | Social media
    • Healing the damaged nurse-physician dynamic

      Angel J. Mena, MD and Ali Morin, MSN, RN | Policy
    • How to overcome telemedicine’s biggest obstacles

      Harvey Castro, MD, MBA | Physician
    • Deaths of despair: an urgent call for a collective response to the crisis in U.S. life expectancy

      Mohammed Umer Waris, MD | Policy

MedPage Today Professional

An Everyday Health Property Medpage Today iMedicalApps
  • Terms of Use | Disclaimer
  • Privacy Policy
  • DMCA Policy
All Content © KevinMD, LLC
Site by Outthink Group

Leave a Comment

Comments are moderated before they are published. Please read the comment policy.

Loading Comments...