Real Estate Investing for Beginners
My intent is to provide you advice on getting started in real estate with little money.
Let me dispel the myth that you need a lot of money to get started in Real Estate. In fact, you can start with as little as $10. I will discuss these topics occasionally in the Podcasts and take your questions.
- Invest in Real Estate Investment Trusts (REITs).
- Invest in Real Estate Crowdfunding platforms, allowing you to invest directly in properties without large sums of money.
- Invest in Rental Properties which can generate residual income with valuable tax deductions.
- Flip properties by renovating them and reselling them for a profit.
- Invest in your own home.
What is an REIT?
REITs are companies that own and operate commercial properties, apartment buildings, hotels, and now even single family homes.
Benefits
- 90% of the REITs taxable income must be paid out to investors.
- No hassles managing your own properties.
- Liquid investment, allowing the quick purchase and sale of shares.
Disadvantages
- Taxable benefits of depreciation is not passed down to the investors.
- The dividends paid out are taxable as passive income.
- REITs can only invest up to 10% of income in new properties.
What is Crowdfunding?
Crowdfunding allows you to directly invest in a portfolio of properties.
Popular sites include:
Benefits
Disadvantages
References
- How to Buy Real Estate with Little Money, The Motley Fool
