Top 8 ways to invest in real estate
Investing in real estate is sometimes like visiting a candy store, as there are so many options that it becomes difficult to decide which one to “try” first. While most are familiar with rental properties, which are real estate where some people invest to earn money from monthly tenant payments, this is just one of several ways to earn real estate income.
If you want to know the different ways to earn money in real estate, in this article, we will take an in-depth look at some of the best ways to invest your money in real estate. We will also add all the pros and cons within each option so that you can see which would be the best that goes with you, to help you make the best decision about what type of investment is best for you.
Sanya Rambally Conklin present 8 ways to invest in real estate. Hopefully it will serve you!
1) Housing for rent
This is the best known of all. Where you buy a property to be able to rent it. Look at the end of the article as we go into more detail about the benefit of this type of investment.
2) Small multi-family property
This is when to buy between 2 to 3 houses, but that they are independent units.
3) Turnkey properties
These are the properties that are already fully equipped and with a tenant, also called “turnkey properties”.
4) Temporary or short-term rentals
These are properties that are rented for short periods of time on online travel platforms such as Airbnb, Booking.com, among others.
5) Repair and sell real estate
These are properties that are in poor condition, and you take the opportunity to buy them at a low price, repair them and then sell them at a margin. Also called "fix and flip".
6) Contract the sale of the property (Wholesaling)
This is a form of real estate investment without actually taking ownership of the property.
People search for homes priced well below market, accurately estimate needed repairs, and turn over the business (contract) to another investor who buys the property. They earn money by sharing part of the profit with the initial owner
7) Real estate investment trusts
This occurs when one or a group of owners give their assets to be managed by other people, institutions or companies. At the same time, these companies can invite other investors.
8) Crowdfunding platforms
Crowdfunding occurs when a large number of people contribute small amounts of money to invest in real estate, investing in various types of assets: income-generating properties, loans to real estate companies, association (purchase of equity) in real estate projects, etc.
These were 8 ways to invest in real estate. As you can see, there are many options which you can choose from, depending on how much money, time or tastes you have. There are some where you take more prominence, and there are others where you let others do most of the work, but in all of them you find a possibility to increase your income and assets. We hope this article allows you to choose the right type of real estate investment for you.
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I am real estate representative at Real LePage Infinity.