Real Estate Investing for Beginners Guide
Investing in real estate is something only rich people do, right?
Well, there couldn’t be a more inaccurate statement. Because there are people—just like you—who’re quietly investing in property and amassing a very nice pot as they do so. Whether you’re interested in running your real estate investing as a side hustle, have dreams of gaining a full-time income, or want to build a pension fund for when you retire, there’s nothing to stop you from joining the ranks…
The following discusses the basics to whet your appetite…
Why Real Estate Investing Really is Open to All
- The reasons to start a real estate investment journey
- Why you don’t need capital to invest in property
The reasons to start a real estate investment journey
Investing in real estate is one of the most popular ways to secure your future financial worth. It offers multiple avenues through which to generate income, plus bricks and mortar is one of the most guaranteed long-term methods to safeguard and grow your money.
Other reasons to consider investing in real estate include:
- There are many options, from hands-on time-intensive methods to passive income generation that require little day-to-day involvement.
- You can start your journey with as little as a few hundred dollars.
- Whichever way you choose to invest, there are diverse avenues that allow you to expand and increase your net property worth.
Why you don’t need capital to invest in property
In the past, property investment was only available to large companies or high-value individuals. Today, lenders recognize that investing in real estate is something many people want to do and are more than happy to provide the funding to do so.
In fact, for certain investments, you don’t need any capital to get started. With some fix & flip or BRRRR loans, the whole cost of the purchase and the rehab is included in the loan. DSCR loans, in particular, assess the cash flow that you’ll make from a rental property and lend on these criteria. As long as this is over 100% of the loan value, then you’re good to go…
The Options for Real Estate Investing that Every Beginner Should Know
- From investment trusts to house flipping: the ultimate beginner’s real estate investment guide
From investment trusts to house flipping: the ultimate beginner’s real estate investment guide
A real estate investment trust (REIT) is a common entry-level method through which many people begin their investment journey. You don’t need a mortgage and you don’t need to take out a loan. Instead, you purchase shares through a company that owns and operates commercial real estate (think shopping malls, condos, and hotels). As they make profits, you receive dividends. Some of these companies are traded publicly, others are private. Such an investment requires little from you—apart from your investment.
You might also want to look at real estate investment platforms where you crowdfund with other investors to provide developers with the capital for their investments. This is another way of passively investing in property and opportunities can be found for as little as a few hundred dollars. Examples of such companies are RealtyMogul and PeerStreet.
Of course, you could simply take out a mortgage and purchase an investment property to rent. Platforms, such as Airbnb, have made this a truly viable option that anyone can easily achieve. However, if you fancy an alternative (and potentially more lucrative) approach, then the next step is to move into the BRRRR (buy, rehab, rent, refinance, repeat) or fix & flip markets. These both involve finding houses that need extensive work to make them habitable and, once completed, either renting them out or selling them for a profit.
Want to Start Your Property Investment Journey? Contact BRRRR Loans and Discover the Best Funding Options
At BRRRR, we pride ourselves in making your property investment dreams become reality. If you’re looking for a rehab loan, a fix & flip, a DSCR, or anything else, we can help. With some of the fastest closing rates in the business—not to mention attractive interest rates and no employment verification or tax returns in most cases—it’s no wonder we’re fast becoming the lender of choice for the USA’s savviest property investors.
Head to https://www.brrrr.com to find out more and call us today for a confidential chat.
Buy, Rehab, Rent, Refinance, & Repeat. A nationwide direct lender to real estate investors. If you have a project that needs to be funded, you’ve come to the right place.