Sign In
Written by: Guest Writer
1 min read | Published: November 16, 2023
There are many ways to invest in real estate, and you might’ve already done so without even noticing. I’ll talk about a few ways to invest in real estate below.
Becoming a landlord is a key way to make money in real estate. There are two main ways landlords make money, appreciation and renting. If the property appreciates, then there’s a chance to sell the property for a profit. Renting is the most common way landlords make profit on their investment. Renting also comes with the most responsibility, such as paying the mortgage, insurance, property taxes, maintenance, and finding tenants. Many landlords have started to utilize Airbnb, which can be a bit more lucrative than just regularly renting out your property. Airbnb acts as a hotel however, travelers are moving away from hotels and using Airbnbs to keep a homey feel while on vacation. Flipping houses is an option in real estate investing. Investors buy undervalued real estate, then fix it up and sell it for a profit. Investors also will hold and resell properties. This is when you purchase a property where the market is rapidly rising then resell the property once the value rises.
Investing in a real estate investment trust (REIT) is a hands off way to be an investor in real estate. REITs manage the ownership and rental logistics. All there is for the investor to do is sit back and collect dividends. REITs dividend payouts are high compared to the dividend payouts of other investments. The reason many people don’t invest in REITs is because the dividends received are treated as regular income for tax purposes.
Investing in your own home is also part of investing in real estate. Updating your interior as well as the exterior of your home can add to the property’s value. Your home also has the ability to appreciate overtime ultimately making a profit if sold.
Much like other forms of investing, there aren’t any guarantees of profit. Real estate can be profitable, but transactions can take months to close and there’s a lot to consider.
Was this helpful?
Browse Related
BLOG | INVESTING
1 min read | November 16, 2023
The way you invest will — and should — change over your lifetime. Some factors most people think about when investing involve their financial goals, when they anticipate needing the money, and how risky they’re comfortable being.
Learn More
BLOG | INVESTING
3 min read | November 16, 2023
One way to achieve financial growth is by investing. When you invest in something, you’re devoting your time and energy to something expecting positive results. Investing can be intriguing, but most don’t know where to start.
Learn More
BLOG | INVESTING
2 min read | November 16, 2023
Many are fearful of jumping into the stock market because the perceived high risk. They may turn to physical goods known to have worth, such as gold and silver, or even real estate. What’s better to invest in: commodities or stocks?
Learn More
Browse by Category
Collegiate Credit Union accounts are held at Michigan State University Federal Credit Union where savings are federally insured to at least $250,000 by the NCUA and backed by the full faith and credit of the United States Government.
If you are using a screen reader or other auxiliary aid and are having problems using this website, please call (844) 201-9519 for assistance.
Copyright © 2025 Reseda Group LLC, used under license.