Properties, lands, real estate, construction, we all have heard about these words many times. It is almost like everyone is running after one piece of land, house, apartment, etc., or the other. However, not everyone can afford to go around buying properties, especially when, globally, many national economies are experiencing inflation, and the global inflation rate has been about 4.35% to 3.81%.
So, what to do when everything, including properties, has become extremely hard to purchase? Are there any other ways to invest in properties rather than buying them? And what if you do not want to take too much risk? Well, you will be glad to know that there are so many different ways, and you do not need all those bucks in your pockets to be an intelligent investor!
1. Home Construction
Want to make some money? Invest in home construction. Everyone knows metropolitan cities are famous for their massive population, and huge population creates opportunities for constructing more houses. And that dear is where you come in; you make these houses, sell them off, and earn money!
2. Real Estate Investment Trust or REIT
Do you want to invest big but don’t have the capital to do so? We got you. You can invest in REITs and generate excellent income without owning the property. REITs are companies that purchase and construct buildings or properties and then operate them to establish and expand their portfolio.
These buildings include malls, apartments, resorts, hotels, mortgages, etc. Hence, investing in a REIT lets you earn a share of income generated through the ownership and operation of commercial real estate.
3. Hard Money Loans
Do you want to invest in properties but do not want to deal with the petty issues that come with it? Then, offer hard money loans to an investor, decide on a percentage as your return on investment, and get that money flowing.
With that said, it is always great to ensure that you know the investor to keep any unwanted surprises at bay!
4. Investing in Real Estate Mutual Funds
Mutual funds are investments that have multiple investors, and these funds invest in a range of things such as stocks, units, shares, real estate, etc. Hence, the investors can share real estate or REITs through Real Estate mutual funds. Moreover, they have higher liquidity and are managed professionally, which means you can make secure investments with less risk and management responsibilities.
This one is for the ones who love exploring. All you need do is find the best properties, make a contract, and sell that contract to another investor at your desired price. This way, you will not have to go out investing in any third party, and it will give you a chance to do business straightforward.
However, this task requires quite a lot of hustle-bustle to search for suitable properties. But we say it is worth it, mainly because it gives you first-hand experience in the market.
Here is our list of the five ways you can invest in properties without purchasing a property. We have got you covered, from wholesaling to home construction to investing in real estate mutual funds, hard money loans, and REITs. Depending on the amount of time you have and the number of risks you are willing to take, these options can be an excellent fit for your investment plans.
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