There are a number of different strategies that real estate investors use and many ways options and different ways to execute within those strategies. As a beginning investor it’s important to focus your education and efforts in a primary area though. Select a starting strategy that aligns with your available, time, money and interests and focus your efforts there.
After some success and establishing of expertise, you may want to broaden your approach to other strategies but doing so before you’re ready will likely slow your overall progress and lead to inaction. Learn about the key strategies – wholesaling, fix and flip, buy and hold income properties, land development, private lending, and private equity below.
Wholesaling
Wholesaling can be a time intensive, but a low-cost strategy for getting started with real estate investing. Find deals for other investors and earn large fees.
Buy, Fix and Flip
A strategy to find and purchase properties that need updating, rehab and renovate and then turn around and sell for a profit to other buyers.
Buy & Hold Income Properties
Acquire properties, hold them and earn cashflow from rents. Scale up with other people’s money, and tenants fund cashflow.
Land Development
Improving raw land by developing it for residential or commercial use. The process can be complex, but the returns can be high.
Private Lending
Providing funding to other investors can be a strategy to passively invest for returns that are typically higher than you can receive through other investments.
Private Equity
Real estate private equity involves raising capital from investors to make investments in real estate. Pooling investment dollars can allow larger investments.