As a real estate investor, should you include residential investment property as a major component of your real estate investment portfolio? Yes, absolutely use it as a main ingredient . Everyone is somehow involved in the residential real estate market, either as  a property owner or as a tenant. The demand is there and always will be. There are certainly tax benefits to enjoy with residential investment property: if you are the landlord those benefits could help you cover expenses, and there are deductions for items including rates, interest, repairs, property management services and depreciation. With some small cosmetic repairs, you can add almost immediate value to the property . Easy things such as fresh paint and updated hardware, replacing cabinet doors and replacing lighting fixtures can } have a significant impact. The rental income from the residential income property can produce the money to pay for the expenses, and in the long-term you should end up with a positive cash flow, putting money in your pocket every month. You don’t need to have a lot of money to start investing in residential income property. Banks and lending institutions look with favor on loans for a residential property, as the property itself is held as security against the loan. A residential investment property can be a vehicle for building wealth, as long as it is well-chosen and maintained. If you are a new real estate investor, it is advisable to get some help or advice from an expert . A mistake in choosing a residential investment property could be expensive, and you could be stuck with a poor deal for the long-term . Finding the right house and buying it at the right price makes your investment a true value, and one that will appreciate in the coming years. Residential investment property will always have value, and can be a path to increased wealth for the savvy investor.