So You want to Invest in Real Estate?
Do you know What type of real estate you want to invest?
WHAT? you say?
You didn’t know there are different kinds of real estate to invest in?
In this article I list, very simply,
The types of real estate you can choose to invest in.
1. The most common type of investing, for several reasons, which I’ll briefly go into, is Residential.
single family, detached homes
single family, attached homes (think townhomes or condos)
Multi family detached homes up to quads (2 to 4 units per building)
The reasons this is so common are because they are fairly affordable and quite abundant. They are wonderful for either long term hold strategies or to wholesale (at the right buy price) or to flip. (see my other articles about Wholesaling or About Flipping)
2. The next common type of real estate is Commercial. This has several types within it. This is a great type of real estate to step up into investing from residential because of the passive income that can be generated from it.
The types of Commercial properties you could invest in are:
retail strips (think stores)
apartment buildings also known as multi family (from a 5 units to hundreds)
storage units or buildings
hotels and motels
As you can imagine, having multiple renters paying month after month who are on 12 months to 20 year leases can provide you with a nice monthly passive & residual income. This is a very attractive type of real estate to hold in your investment portfolio for the long term. (Think Warren Buffet!)
3. The 3rd type of real estate investment is Industrial.
Industrial includes warehouses,
manufacturing facilities, and
If you are or become knowledgeable in this type of investment, it can be a great strategy for long term holds like commercial properties.
So, now that you know the 3 types of real estate investments, where will you start? Or what do you already have experience in? Comment below, I’d love to know.