Individuals are becoming more interested in real estate investments. However, there’s a common misconception that you need hefty sums to get started in real estate. These seven tried and tested ways to invest in real estate without large capital.
Fundrise
Fundrise is an online platform that allows you to invest in Real Estate Investment Trusts. The greatest advantage of using this reliable platform is getting great returns without spending time on management tasks. If managing tenants or taking care of the returns isn’t your tea, Fundrise is a great platform.
Your Home
Have you ever considered how the home you’re living in is also an investment? If you buy a house at cheap rates and without spending extensive sums on glamorous renovations, your home can pay you in the future. The property price gradually increases every year though the pace depends mainly on your neighborhood and the city laws.
Rental Properties for Income Generation
You can also have rental properties and earn through them. Although you must deal with numerous problems, including tenancy and vacancy issues, a rental real estate property will create a new income stream. You can take a loan to invest in your rental business.
Commercial Real Estate
If rental properties and dealing with residential real estate isn’t worth your time, you can try out your luck in commercial real estate. This real estate includes commercial spaces such as offices, shops, etc. Your tenants pay the mortgage, and you earn profits with very few costs on repairs.
Due to long-term leases, you can rest assured that this business will last for a few years and generate a steady income while the property rates increase over time.
Flipping Houses
If you like to view real estate as a project, flipping houses is the ideal option. Buy a property, fix it with some renovations and repairs, then sell for a higher price than your purchase point. Voila! You have earned your profits.
Renting Someone Your Home Space
If you have a spare room that’s become your storage over the years, you can rent the space out in exchange for some cash. Think of it as a co-living tenant only that you can set the boundaries and get the cash for allowed space. Many people look for small business spaces; garages can become great rental spaces in your home.
Real Estate Investment Trusts
Real Estate Investment Trusts or REITs invest in mega complexes, residential and commercial, or other large properties. You become a shareholder in these properties and can earn dividends.
Final Thoughts
There are some other methods for investing successfully in real estate. However, these seven ways have proven to be the most beneficial, with less complexity and more profit earning.
