Is There Such A Thing As A Hands-Off Real Estate Investment?
Most real estate investments are very hands-on and you need to put a lot of time in. First, you have to find a suitable property, view it, and then go through the process of buying it. Depending on the state of the property, you then have to invest a lot of time and money to get it ready for somebody to live in. Once the house is ready, you need to find the perfect tenants. Your work isn’t done once somebody moves in either because you are responsible for the maintenance as well.
If you’re looking for a hands-off investment opportunity, you might think that real estate isn’t for you. However, there are ways that you can invest in property without putting that much time in. These are the best tips for hands-off property investment.
Consider Real Estate Crowdfunding
Crowdfunding is a popular method for raising funds for startups, but did you know that you can also crowdfund real estate investments? Instead of buying a property on your own, you join a large pool of investors and buy the property together. All of the purchasing and management of the property is handled for you, and you get the returns. You won’t earn as much as you would if you owned property on your own, but you can get started with a much smaller initial investment and it’s very hands-off because you are not responsible for property management. If you still like the idea of real estate but you don’t want to invest the time, crowdfunding is a great option.
Buy A Turnkey Property
If you do want to buy a property of your own but you don’t want to spend a lot of time on your investment, you need to buy a turnkey property. This simply means a property that is ready for somebody to move in right away. There are so many luxurious homes that are in perfect condition, so as soon as all of the paperwork is signed, you can find tenants to move in. But if you invest in a fixer-upper, expect to spend the next year project managing and tackling endless problems during the renovation.
Use A Property Sourcing Agent
The process of finding and viewing houses can be very time-consuming, especially when you have a specific list of things that you want.
But you can save yourself a lot of time if you use a property sourcing agent. They will search the market for you and view properties on your behalf, then draw up a list of potential investments for you to look at. They will give the impression that they can save you money, but that isn’t usually the case because even if they find a good deal, you have to pay their fee on top. However, it’s worth it if you want a hands-off investment and they will have a keen eye for which properties will make a good investment.
Real estate investment always requires some input on your part, but if you consider these simple tips and tricks, you can make it far less time-consuming.