Owning real estate for investment purposes can be a great path to wealth. Depending on the property, it can generate predictable cash flow, capital gains and provide tax benefits.
There are several ways to invest in realty, from purchasing Real Estate Investment Trusts, rental single-family or multi-family properties, flipping houses, building an investment property, or joining a real estate syndication.
By financing the capital, passive investors or limited partners receive proportionate ownership interests and get monthly or quarterly income distributions from the rental income of the asset as part of their return on investment.
1. Passive investing is free from burdens from tenants to fixing things like toilets.
2. Receive potential capital appreciation from the sale of the real estate project.