tags #Real Estate Investment #REIT #Alternative Investment #
Are you planning to try investing in real estate? Real estate business is a tough job but if done correctly, you can make great profits out of it. It can help you diversify your existing investment portfolio and an extra income. There are different ways to invest in real estate, some investments don’t require very much effort. If you are new and looking for ways to invest in real estate, keeping on reading.
1. Purchasing REITs
REITs or Real Estate Investment Trusts let you invest in real estate without the hassle of having a physical real estate. These companies own commercial real estate like office buildings, apartments, hotels, etc. REITs normally pay high dividends to the investors, so if you are planning to look forward to buying REIT, go for it. However, there are some complexities regarding REITs as they vary from company to company. The amount of risk depends on the type of REIT you are paying for. For beginners, a good rule of thumb is to stick to publicly traded REITs which you can buy from the brokerage firms.
2. Investing in rental properties
Rental properties are by far the easiest and most profitable investment for a newbie. This is because the basics of investing in rental properties are quite easy to understand. In this setup, a buyer buys a rental property and rents it out to the tenants. You can either rent out the entire home or a few rooms as per your choice. You can also hire a property manager to show your potential clients one or more rental properties.
3. Flipping investment properties
Flipping a property means investing in an underpriced home and renovating it as inexpensively as possible so that selling it gives a decent profit for the seller. Flipping requires precise estimations of repair expenditures. If you think the home purchasing and the repairing cost demand a heavy price, you can find an experienced partner to calculate and share the expenses. One risk to watch out is that the longer you keep the property the more mortgage you will pay. A way to lessen the risk is to live in the house and fix it up while you are staying there.
4. Renting a room
If you want to invest money by not renting the entire home of yours, try renting a part of your home to sites like Airbnb. It’s a low-key form of house hacking. The more desirable your home and the part you are renting, the more potential customers. Another advantage for you is, you don’t have to take on a long-term tenant and can certainly have the benefit of allowing the guests in your home.
5. Using real estate investing apps or online platforms
The online platforms such as Fundrise, connect real estate developers to the investors who are looking for financing projects. They do so by either providing loans or equity. The investors lend the borrower money for personal needs or home renovation. Like many real estate investments, you can’t easily unload them the way you trade a stock. Many of these platforms are open to investors that have a net income worth of $1 million or earned more than $200,000 in each of the last two years. If money isn’t an issue for you or you have the enlisted income then you can invest in these platforms.
Here is the list of top 5 best ways to invest in real estate. An advice for you is to think about how much time you can spare dealing with these investments along with the overall cost to deal with before taking any action. This way it will be easier for you to plan and execute.
The End, what is next?
Note: the page content was squeezed for you with a focus on Real Estate Investment , REIT by Paperfree Magazine Team, editor -
Go ahead and share it!
check this out, 5 Best Ways to Invest in Real Estate For Starters Tweet
Want more content related to "Real Estate Investment" ? Subscribe PaperFree Magazine!
We will send an email from PaperFree Magazine with the top content on this subject: Real Estate Investment , REIT.
- PUBLISH CONTENT
- Real Estate Investment Principles by Billionaire Bruce Flatt
- Real Estate Investing Basics: 2 Ways of Real Estate Investment
- Back to Basics: Understanding Real Estate
- 5 Best Ways to Invest in Real Estate For Starters
- 7 Ways On How To Make Money In Real Estate
- 6 Factors To Look For Before Investing in Real Estate
- Return on Investment (ROI) In Real Estate & Its Calculation
- How Much Money To Invest in Real Estate
- Real Estate Business: 7 Challenges You Need To Know Before You Start
- Real Estate Investment Trust (REIT)
- Introduction of Real Estate Investment Trusts (REITs)
- Direct Real Estate Investment Vs REITs - Which One To Choose?
- REITS, Real Estate Funds & Real Estate Mutual Funds: The Comparison
- Equity Vs Mortgage Real Estate Investment Trust
- Assessing A Real Estate Investment Trust (FFO and AFFO)
- Real Estate Investment Trust (REIT) and Its Risks
- Counties by population based on United States Census
- Trump's tax report and tax avoidance leveraging Real Estate business
- Demographic trends are reshaping the real estate market in the US