Special offer

5 REAL ESTATE INVESTMENTS YOU SHOULD KNOW

By
Real Estate Agent with Greetings Virginia with eXp Realty

REAL ESTATE INVESTMENT OPTIONS: EXPLORING YOUR CHOICES

In today's market, many home buyers are drawn to real estate investing because it offers a chance to make money by buying properties. Unlike other investments like stocks or bonds, real estate gives you something tangible that you can touch and see. This makes it feel safer, especially when the economy is uncertain. Real estate also tends to increase in value over time, which helps protect your investment against rising prices.

Technology has also made real estate investing more accessible for everyone. Websites and apps let people invest in properties without needing much money or dealing with the hassle of managing them. With new tools, investors can research the market and decide where to invest their money which is a lot more accessible.

Apart from the usual thought of new home buyers that real estate is simply flipping houses or buying one and renting it out, there are more ways to consider when you want to invest in real estate. Today, we'll talk about the different options that you can choose from when you're interested in investing in real estate.

 

 

Real Estate Investment Trusts (REITs)

A Real Estate Investment Trust (REIT) is a company that owns, operates, or finances income-generating real estate across various sectors, including residential, commercial, and industrial properties. REITs offer a unique opportunity for investors to gain exposure to the real estate market without directly owning physical properties. By investing in REITs, investors like you can access diversified portfolios managed by professionals, which ensures that your investment is spread through different properties and locations and lessens risk.

REITs distribute a significant portion of their income to shareholders through dividends, making them an attractive option for investors seeking regular income streams. Furthermore, REITs are known for their liquidity, as they trade on major stock exchanges like individual stocks, allowing investors to buy and sell shares quickly.

BOOK A CALL 🧡

SEARCH FOR HOMES

 

Residential Real Estate

Investing in residential real estate, such as single-family homes, apartments, or condominiums, entails purchasing properties to rent out or sell. It's a favored choice for investors due to its potential for steady rental income, stability through economic fluctuations, and prospects for long-term appreciation. For instance, buying a duplex and renting out both units can provide dual income streams.

Additionally, owning a condominium in a high-demand urban area can yield consistent rental returns. Residential real estate investments also offer tax advantages, like deductions for mortgage interest and property taxes, further enhancing their appeal. Overall, investing in residential real estate means having a steady income, stability, appreciation, diversification, and tax benefits.

BOOK A CALL 🧡

SEARCH FOR HOMES

Commercial Real Estate

Commercial real estate investment involves acquiring properties such as office buildings, retail spaces, or industrial facilities to generate income through leasing or selling them. Commercial properties often yield higher rental income than residential properties, offering potentially more significant cash flow. Additionally, long-term leases with commercial tenants typically provide a stable income stream, enhancing the predictability of returns.

 

Online Platforms in Real Estate

Online platforms for investing in real estate, often called real estate crowdfunding platforms or real estate investment platforms, have emerged as popular alternatives for investors seeking exposure to the real estate market without the hassle of property management. These platforms allow individuals to invest in various real estate projects, ranging from residential to commercial properties, typically with lower minimum investment amounts than traditional real estate investments.

If you’re the type to do everything at home, this real estate investment is for you. Online platforms for investing in real estate offer convenience, diversification, and potential income generation, which is excellent for individuals looking to participate in the real estate market with greater flexibility and lower barriers to entry.

BOOK A CALL 🧡

SEARCH FOR HOMES

 

Raw Land

Investing in raw land in real estate involves purchasing undeveloped or vacant land to hold it for appreciation or development. Raw land investment offers several unique benefits that appeal to investors. Firstly, it provides an opportunity for capital appreciation over time, as land value tends to increase, especially in areas experiencing population growth or urban expansion. Additionally, raw land investments offer flexibility and control, allowing investors to decide when and how to develop the property according to market demand or zoning regulations.

If you want to know more about how you can invest in real estate, feel free to reach out to me at (703) 562-1788 or Dan@greetingsvirginia.com. I’d be more than happy to help you!

 

Homes for Sale in Washington DC, Maryland and Virginia

 

 

Posted by

About the author:

Dan Rochon is Operating Principal of Keller Williams Realty, Alexandria - Kingstowne, VA and Team Leader with Traci of

Dan and Traci & Consultants with Keller Williams Realty.

         

Dan and Traci have been featured in local and national news on the NBC Nightly NewsThe Today ShowThe Washington ExaminerThe Washington PostCNBC, and WTOP News and more for their success in selling short sales.

If you are interested in short selling your home in Virginia, Maryland, or Washington DC call us today at 703-562-1791 ext. 2 


 

Michael Elliott
Fathom Realty - Burlington Township, NJ
Burlington, New Jersey Residential Sales

Great info here.  I just followed you, please do likewise!

Apr 03, 2024 03:26 PM
Donald Reich
Madison Specs - New Rochelle, NY
Cost Segregation Specialist

This was a great post - thanks for sharing!

A lot of novice investors don't realize that their investment properties can be depreciated every year for a nice tax break. Residential properties are depreciated over 27.5 years, and commercial properties are depreciated over 39 years.

On top of that, you can have a cost segregation study done in order to accelerate this depreciation, giving you a much larger tax break in the first year or 5 years after  you acquire the property. This frees up more cash for you!

Apr 04, 2024 01:36 PM
Bo Zivak
Zivak Realty Group - Nashville, TN
Nashville Real Estate Broker

Thanks for shedding light on the array of options available in the real estate market!

Apr 05, 2024 06:42 AM