Can I Invest In Real Estate Without Being A Landlord?
You may have found yourself asking how someone can invest in real estate without being a landlord. Well, that’s a good question. Investing in real estate has been shown time and again to be a reliable path to financial freedom. But often we only think of real estate investors as harried landlords taking care of needy tenants and broken pipes. And because of that image and idea, many people avoid real estate investing as a means for building wealth.
But there are options. And we are going to give you a quick overview of each of these options here, so that you can determine which path you want to take and pursue more information and the resources for that tactic. Some of these options will require more money than others, and like every type of investment there is some risk. But you should be able to find some way of real estate investing that suits your personality and circumstances. If you find that a strategy interestes you but you cannot currently pursure it you will want to come up with a plan to get there.
So What Are The “Not A Landlord” Investing Options?
Option #1 Fix and Flip Investing
When you fix and flip properties you do not take on the role of a landlord because the “flip” part of the transaction entails selling the property to someone else. It is merely one property owner selling to another property owner, no one is ever renting the property.
House flippers realize their profit when the property is sold. You can read how to flip a house here.
Option #2 Wholesaling Real Estate
Wholesaling real estate is where you find properties for other real estate investors and they pay you a commission. In fact, wholesaling is one of the best ways to get started with real estate investing because it allows you to focus on refining one set of skills, those related to finding and valuing deals, that you can then apply to other forms of investing should you determine that you want to try your hand at them later if you want to.
We Helped Rashad With His Wholesale Deal
Option #3 Find A Business Partner
Do you have some capital that you want to invest, but you don’t want to do any of the actual work of fixing and flipping or managing a property? One strategy would be to partner with someone who has the motivation and skill set for that part of the real estate investing business but perhaps lacks the funds to make it happen. You may be able to find such people by joining local real estate investing associations, or you can check on Meetup for groups in your area. You’ll want to make sure you take some time to get to know any prospects before working with them, and that you work with an attorney to set things up.
Option #4 Utilize A Property Manager
If the steady cash flow of owning rental properties is appealing to you but you don’t want to deal with tenants and property maintanence you can get a property manager to take care of all of those aspects of your business. In fact, most real estate investors with large rental property portfolios prefer to operate this way. You may find that the costs of doing so are worth it.
Option #5 Become A Hard Money Lender
If you have a large amount of money to invest you may want to consider becoming a hard money lender and funding deals for other investors. In fact, we have opportunities for those looking to explore this option as well. We can handle all of the loan servicing for you as part of our program. You’ll need to be an accredited investor. Get more information about being a hard money lender here.
Do Hard Money Can Help You Become a Real Estate Investor
We have programs for all types of real estate investors. While we are most known for our 100% financing of fix and flip investments we can also help with investment property refinance, BRRR investing, wholesale, rental properties and more!
Give us a call, 801-692-7703 to get started or just click on the button below to get started. We want to be part of your real estate success!