Passive Real Estate Investing
By Joe Arias
Want to make money without having to put in a lot of work ? You may want to consider passive real estate investing . It is the perfect solution for an aspiring investor who may have other time commitments like a fulltime jobs that does not allow much time to be a property manager or a home flipper . Each of those activities requires at least a little bit of time on your part . You have to collect rent , market your property for rent , make repairs , and so forth .
With passive real estate investing , you basically write a check and then sit back and collect mone over time . There are a couple of different options when you get into passive real estate investing , each comes with its own risks and varied amounts of returns . They are pretty easy to get in to and do not require a lot of knowledge in the real estate industry to be successful . Here are several passive real estate options worth looking into :
What is Passive Real Estate Investing ?
Before we jump into what types of passive real estate options are out there , let ’ s first look at what passive real estate investing is .
In simplest terms , passive real estate investing is investing in real estate without requiring handson effort or active participation . Passive real estate investing can either be direct or indirect . The main difference between the two is the amount of work you have to contribute to each investment .
Why Is Passive Investing a Good Idea ?
When you are a passive real estate investor , you will earn money without having to actively work for it . Basically , you pay someone an agreed upon amount
of money and they do all the hard work for you . Here are some ways you can put your passive income to use :
• Build a retirement fund .
• Pay off your debts .
• Increase your savings account .
While there are nonreal estate related ways to earn passive income , let ’ s just focus on those that do involve real estate in some form . Here are a few ideas for you on how to invest in passive real estate :
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