Real estate has long been one of the most effective ways to build wealth and generate passive income
After all, it’s a real asset that appreciates over time.However- in recent years, new platforms have made it easier than ever to invest in real estate without having to wade into the messiness of becoming an actual landlord.
Today, we’ll look at some of these new platforms and how they work so you can start building your own portfolio in 2022.
First, check into buying a rental property
Check Buying Rental Property
Rental properties are a good Investment because they offer an opportunity for passive income and diversification, as well as the potential for appreciation.
The rental property market has been booming over the past decade and shows no signs of slowing down going forward.
While this isn’t the only way to invest in real estate in 2022, it’s a great option that you shouldn’t overlook!
Next, consider renting a portion of your existing home
Consider Renting Portion
One of the easiest ways to invest in real estate is to rent out a portion of your primary home. Here are some ideas:
Rent a room
Rent a garage
Rent out the basement
Rent out your backyard and/or driveway (if you live in an urban environment)
This is certainly not a great idea for everyone, but sometimes renting storage space on your own property can pay off in the long run, you don’t have to let someone live with you.
Flipping houses is another great way to invest in real estate, and possibly the most exhilarating!
Flipping Houses
The process is straightforward, and you don’t need much money or experience to do it.
Here are the positive benefits of flipping houses:
You can learn most of what you need to know about flipping a house for free online. There are plenty of YouTube videos, podcasts, and websites that will teach you everything from how to find flips to how to negotiate with contractors for the best price on repairs or upgrades.
Also, Flip houses are relatively cheap compared to other types of property investing (such as buying apartment buildings), so they’re ideal if you have limited funds but still want to get started in real estate investing today.
The not-so-positive sides of house flipping?
It’s possible that the market could crash while your flip house is being remodeled; this would make it impossible for you to sell the property at its appraised value later on down the line when everyone else has been waiting patiently during those difficult times—but then again it might not happen!
Another way to invest real estate– is to use an online real estate investing platform
Online Investing Platform
A great way to invest in real estate is an online real estate investing platform like RealtyMogul.com.
These platforms allow investors to get into the market with minimal risk because the investments are spread out among many properties and not just one.
These platforms also provide excellent liquidity, allowing you to take your profits when you want them without having to wait until the end of an investment cycle.
Another great benefit of using an online investing platform is that it allows you to invest in other people’s deals rather than placing all your eggs in one basket by going after your own deals.
This allows you diversification while still utilizing your skillset as an investor and letting others work on their own deals while benefiting from yours at no extra cost!
Lastly, check into real estate investment trusts (REITs)
Investment Trusts
If you’re not ready to buy a property but want to invest in real estate, consider diversifying into Real Estate Investment Trusts (REITs).
They are a great way to invest in real estate without having to buy a property.
Plus, they’re good for investors who don’t have a lot of money to invest right away!
What are REITs? Well, they’re basically companies that trade stocks like any other shares of stock on the market—but instead of owning a piece of a company, you own a piece of a property. And unlike most stocks, which fluctuate wildly and can go down as well as up, REITs are only allowed to pay out 90% of their income as dividends—which means that even if your stock drops in value (and it will!), you still get paid out at least 10% of your initial investment each year without fail. And despite their name, these companies don’t actually have to be real estate companies—they just have to invest in real estate!
Real estate investing does not have to be complicated.
Investing Does Not need to be Complicated
You don’t need to be an expert in real estate investing, but you do have to make sure the real estate investment you’re considering is a good one.
The best way to do this is by doing your research before making any decisions.
Making decisions about real estate investing can be tricky. But you don’t have to do it on your own! You can benefit from the help of a professional who understands the local market and has experience working with investors.
