Suppose you’ve ever wanted to own some rental or investment property but don’t want to do all the hard work yourself. In that case, there are many options available to you, and you can even invest with a partner. Whether it’s investing in REITs or getting into the business with someone you know and trust, there are plenty of ways of buying investment property with partners.
That being said, it’s still going to take some time, patience, and dedication to be successful. You also need to research what a successful, profitable real estate investment partnership is like before getting started. For example, how much involvement do you want to have? Do you want to let someone else do most of the work?
Think about your own needs and what you hope your partner can bring to the table before choosing someone. It does not even have to be another person. There are partnerships in the form of real estate investment firms/entities. How much of your own money are you willing to invest? Do you want to be a landlord, or do you want to be more “behind the scenes” as an investor?
These days, many people buy investment property with partners by putting money into Real Estate Investment Trusts. The REIT team itself can be your “partner.” Compared to other property investment opportunities, this is a more convenient and affordable solution for beginners.
“Investment properties” encompass more than just residential homes or multi-family units. Any property, be it residential, commercial, agricultural, hospitality-related, urban, etc., could potentially be invested in.
Buying Investment Property With Partners as REITs
If you consider the REIT route, check and see what kinds of properties each REIT firm focuses on. Then, do a bit of research to find out if that industry and type of property is good to invest in right now and what the short-term and long-term potential might be like.
When buying investment property with partners, don’t feel pressured to spend money on any land or building you feel uncomfortable with. It helps at least to have some knowledge of the geographical area itself and the industry and type(s) of investment.
Adding investment properties to your portfolio should be a streamlined process as well. If possible, never put all of your money into a single property. Make sure you work with a partner who understands this as well. Suppose you are going through a REIT platform. In that case, there should be excellent communication, customer service, and a streamlined process for viewing, making, and monitoring your investments.
As of right now, one of the easiest ways to get started buying investment property with partners is going through a platform such as DiversyFund. The growth REIT funds are illiquid long-term investments with a five-year projected term. There are no specific qualifications required to join, as long as you are a US resident of at least 18 years of age.