4 Real Estate Investment Strategies for Passive Income
Updated: Apr 15, 2019
Investing in real estate can be a lucrative opportunity, especially when you can get recurring revenue with minimal effort. Real estate investment strategies for passive income has become a popular goal in recent years, giving you a chance to work less, earn more, and live life on your terms.
But what does passive real estate investment actually look like and how can you get started building your financial dreams?
If you’ve got the capital but not a lot of time to pour into your investment, you’ll explore four of the most common real estate investment strategies
Four common real estate investment strategies:
#1 – Short-Term Rentals
Thanks to user-driven platforms like Airbnb and HomeAway, the short-term rental market is experiencing unprecedented highs. Many people are finding that short-term rentals offer more value and comfort than a standard hotel, especially when you can get one for less than what you’d spend at a hotel. There’s a major consumer demand for them, which bodes well for investors looking to make passive real estate income.
Short-term housing can be used for a number of reasons, including vacations, corporate housing, student housing, and temporary relocation, to name a few. It’s a more palatable opportunity for those who need somewhere to stay without a 12-month lease. To date, at least 6% of Airbnb hosts have more than three property listings. Some hosts are making as much as $10,000 or more per month. Investors should pay close attention to this industry upswing and take advantage of this growing niche.
#2 – Long-Term Rentals
As long as there are families and individuals needing a place to live, the long-term rental market will continue to be relevant. Purchasing single-family homes, apartments, condos, or other housing can provide a lucrative opportunity. Most of the time, your renter will sign a 12-month lease, giving you guaranteed income for those 12 months.
#3 – Commercial Real Estate Syndication
Real estate syndication allows investors to partner with other investors to purchase more property than a single investor could afford alone. The risk is lower since you’re sharing it with other investors, giving you an attractive incentive to pursue larger-scale investment dreams.For example, you might not be able to afford an entire condo development, but through syndication, you can buy a share of development and earn passive real estate income.
#4 – Vacation Rentals
The vacation industry in the United States continues to thrive, representing a top destination for domestic and international travelers alike. Purchasing investment properties in popular tourist destinations can help you generate passive real estate income, especially if it’s a popular spot year-round.As the Airbnb market continues to boom, investors can likely expect the interest in home-style accommodations to grow, too.
How Acorb Capital and Investments Can Help in making real estate investment strategies?
Whatever real estate investment strategies you’re pursuing, Acorb Capital and Investment can help you find the best opportunities in the United States to reach your goals. We help investors from all over the world connect with investments that offer attractive returns so you can pursue your passive income dreams on your terms.
Contact us today to schedule a consultation and discover how we take the complexity out of real estate investing.