7 Easy Ways to Make Passive Income with Real Estate

7 Easy Ways to Make Passive Income with Real Estate

Real estate is an amazing way to make passive income. You don’t even need to own commercial or residential rental properties. 

You have other options such as crowdfunded real estate investing. 

This is much like peer-to-peer lending. Their platforms match investors with ideal investment choices. In a case like this, investors do not have to bargain with sellers or involve themselves in ownership transfer and management of the properties. They also allow you to earn passive income without investing a lot of money. 

Here are seven of the most experienced crowdfunded real estate companies.

Rich Uncles

The minimum investment amount is $5. Anyone can get started. 

How It Works

Through crowdfunding, Rich Uncles makes it possible for everyone to invest in real estate. They have student housing and commercial properties and you can choose one or both.

Who Can Invest?

You can invest even though you are not an accredited investor but you should have a net worth of $250,000 or a minimum family income of $75,000. 

Fundrise

This is an online platform for real estate investing. The minimum investment requirement is $500. Mostly, they involve themselves in commercial property. 

How It Works

There is an eREIT investment funds list for investors to browse and choose the most suitable one. They also aim at cutting out the middleman.

Who Can Invest?

The only requirement is a minimum investment of $500.

Realty Mogul

You invest by buying stock shares in their LLCs. These LLCs then invest in a different LLC with the property title. This minimizes overhead. 

How It Works

Realty Mogul is basically all about buying stock shares.

Who Can Invest?

Both credited and non-accredited investors can invest. The latter, however, are limited.

stREITwise 

This crowdfunded-type REIT manages commercial property. Your private real estate asset portfolio will be professionally managed. The minimum investment is $1000.

How It Works

They will hold your initial investment for at least a year.

Who Can Invest?

Just like Realty Mogul, accredited and non-accredited investors can invest. 

EQUITYMULTIPLE

It allows investors to be a part of professionally managed commercial property. They have privately held REITs for accredited investors.

How It Works

A minimum investment amount of $5000 is required. Properties include:

  • Thriving commercial properties
  • Short-term loans
  • Value-add projects

Who Can Invest?

It is only open to accredited investors. 

RoofStock

This is not really a company for crowdfunded real estate investing. However, it makes it cheaper to own rental properties.

How It Works

Through equity investments, accredited investors can invest in a number of properties. 

They have a list of all their rental properties and you can browse to choose the one you like. They will arrange details such as closing and financing.

Who Can Invest?

Accredited and non-accredited investors alike can invest.

Crowdstreet

They focus on commercial property investing. Investors can get debt and equity investment deals.

How It Works

You choose specific properties and buy a stake. 

Who Can Invest?

This one is for accredited investors only. They have set a minimum investment amount of $10,000.

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