Today’s guest post on maximizing your time when investing in real estate is from fellow blogger Kayla Sloan.
I don’t know about you, but time is something I never seem to have enough of.
There’s always at least one more thing on my “To Do” list at the end of each day than I have the time to accomplish. Maybe it’s because my goals and optimism of how much I can accomplish each day are too lofty.
If this sounds all too similar to what you experience in your own daily life you should know that one thing not to put off until tomorrow is investing.
Perhaps you’ve considered investing in the past and ruled out putting money into real estate investments due to a lack time in your busy schedule to flip houses or manage rentals. But the good news is, those are not the only ways to invest in real estate and it is possible to do even when you don’t have a lot of time.
1. Invest in Rentals
Investing in rental properties is a great way to provide you with a steady income. If you think it can’t be done because you don’t have the time to manage them you might want to reconsider this investing option.
One way you can invest in rentals is by hiring a property manager. Of course, it may cut into your profits a little, but the additional cost is minimal compared to the benefit of having someone who can handle things for you. A competent property manager can collect the rent, keep up with maintenance issues, and take care of any other management hassles on your behalf freeing up your valuable time. The beauty of having a property manager is that you get to be an investor without having to become a property manager which is perfect for the real estate investor who doesn’t have a lot of time.
2. Set up an REIT
Another way to invest in real estate when time is the element missing in your life is to go through an REIT, or Real Estate Investment Trust.
An REIT has a team of expert real estate investment managers who will pool your money with that of other qualified investors so everyone profits. By putting your money with that of others they are able to make investment choices on your behalf that may not be available to you on your own. The money you invest is usually spread out over several different properties minimizing the risk of losses for everyone in the group. Investing in an REIT removes all of the elements of being a landlord which saves you time and allows you to be an investor only.
You can invest as little as $1,000 but also a great deal more if you choose. The fees charged by the company overseeing the REIT are usually reasonable and they pay dividends to the investors on a regular basis. Additionally, you can remove some of your money a few times throughout the year if you want to.
3. Partnership Investing
A third way you can invest in real estate without spending a lot of time you don’t have is by investing with a partner. If you have a good friend, spouse, or relative who will partner with you it might be possible for them to put in more of the time managing or flipping property while you remain solely an investor in the project. This kind of arrangement can benefit you when you don’t have a lot of time for real estate investing on your own.
Having a list of tasks you need to complete that overshadows the number of minutes in your day can be frustrating and exhausting. Thankfully, as you can see, there are ways to fit investing in real estate into your day even when you don’t have a lot of time. This is something your wallet will thank you for!