The real estate market has been tearing lately, with prices and demand reaching new highs. So now is a great time to consider getting into real estate investment. But how do you get started even with little money or experience? Here are a few easy ways to get into real estate investment.
- Use Online Real Estate Portals
Several online real estate portals can help you find investment properties. Most portals list properties for sale by owner, so you can avoid working with a real estate agent. In addition, it can help you save money on commissions. Consider the location, price, and potential rental income when looking for an investment property.
As you learn real estate investing, you can also use these portals to find potential tenants for your investment property. It can be a great way to get started in real estate investing without putting any money down. Then, as you build up a portfolio of properties, you can begin leveraging your holdings for even more profits.
- Look for Fixer-Uppers
If you’re handy or know someone who is, look for fixer-upper properties. These are properties that need some work but have the potential to be worth much more after the repairs are made. Then, you can either sell the property for a profit or rent it out more than you would if it were in good condition.
To find fixer-upper properties, start by searching online real estate listings. Look for properties that are being sold as-is or for a low price. You can also check with your local government for tax foreclosure auctions. These auctions sell properties that have been seized for unpaid taxes. You can usually get these properties for a meager price, but they will need some work to be habitable.
- Buy REITs
REITs (Real Estate Investment Trusts) are a type of investment that allows you to pool your money with other investors to buy larger properties. They are similar to mutual funds in that they are a diversified way to invest in real estate.
REITs are traded on major stock exchanges so that they can be easily bought and sold. They also pay out regular dividends, so you can earn income from your investment even if the value of the REIT itself doesn’t increase.
There are many different REIT types so you can choose those that best suit your investment goals. For example, some REITs focus on office buildings, shopping centers, apartments, hotels, and even self-storage units.
- Invest in a Rental Property
You can buy a rental property if you’re looking for a more hands-on real estate investment. It can be a single-family home or an apartment building. Since you’ll be responsible for the property, it’s essential to do your research before buying. Ensure you understand the local rental market and the type of property in demand. You’ll also need to factor in the cost of repairs and maintenance.
While owning a rental property can be a lot of work, it can also be a great way to earn extra income. As you build up a portfolio of rental properties, you can leverage your holdings for even more profits.
- Rent out Extra Space in Your Home
If you have extra space in your home, you can rent it out to earn extra income. This can be a great way to get started in real estate investing without buying a property. There are several ways to rent out extra space in your home. For example, you can list a room on Airbnb or a similar short-term rental site. Or you can rent your entire home for longer periods, such as for a month or more.
You can also rent out storage space in your home, such as a spare room, garage, or shed. It can be a great way to earn income from your real estate investment without dealing with tenants.
The Bottom Line
There are several easy ways to get into real estate investing. Whichever method you choose, real estate investing can be a great way to earn extra income. Remember to do your research and understand the risks before you get started.