Passive Income from Real Estate Investment Starting from $10

raccooni4ka
5 min readMar 31, 2024

--

Investing in real estate is a popular avenue for generating passive income, and for good reason. Here are a few compelling reasons why it’s a smart choice:

Steady Cash Flow

Rental properties offer a consistent stream of income in the form of monthly rent payments from tenants. This steady cash flow can provide financial stability and supplement other sources of income.

Photo by Tierra Mallorca on Unsplash

Investment Potential
The good news is that Real estate properties have the potential to increase in value over time. It can lead to significant money accumulation, especially in markets where property values are on the rise. Such type of investment usually brings a good income when it’s a crisis. Because prices of the properties are going up. Crisis are happening around every 10–15 years.

Tax Advantages
Imagine that you are a Real estate investor. You have different tax benefits, such as deductions for mortgage interest, property taxes and operating expenses. It can help you reduce taxable income and increase overall returns. And all the money that you save, you can invest again.

Portfolio Diversification
When you invest in real estate, it can share your investment portfolio and reduce overall risk. Such type of investment usually has a low ratio with other asset classes, for example, stocks and bonds, which makes it a good addition to a well-balanced investment strategy. Because it’s very bad to keep all eggs in one basket.

Inflation Hedge
Real estate is considered a protection against inflation because property values and rental income usually increase with inflation and the price never becomes lower. This means that real estate investments can maintain their value and purchasing power over time. So if we compare bank savings and real estate investment, money in the bank can lose some amount because of inflation, but the property is the opposite.

Control Over Investment
Unlike some other investment types, real estate offers investors a degree of control. You can actively manage your properties, make improvements, and implement strategies to increase cash flow and property value.

Photo by Dillon Kydd on Unsplash

Real estate Investment websites

The first website is Arrived.

Arrived.com The first website is Arrived.
Arrived.com is a real estate investment platform offering a modern property investing approach. Here’s how it works and what you need to know about the investment amounts:

How it Works

To become an investor, you need to buy shares of rental properties on this platform. The platform finds high-quality residential properties in desirable locations and purchases them using funds pooled from investors. When the property is bought, it is renovated, leased to tenants, and managed by a team of experienced professionals. The company starts to rent it out, you start to earn

Arrived.com

Investors can browse available properties on the Arrived platform, review detailed financial projections and investment metrics, and decide which properties to invest in based on their investment goals and risk tolerance. Once invested, investors receive regular updates on property performance and distributions from rental income.

Arrived aims to make real estate investing accessible to a broader audience by offering low minimum investment amounts and providing a transparent and user-friendly investment experience.

Amount of Investment

The biggest advantage of this platform, I think is its low barrier to entry. You can start investing in real estate with pretty small amounts of capital. While the specific investment amounts may vary depending on the property and investment opportunity, Arrived offers investment opportunities with minimum investment amounts ranging from a few hundred to a few thousand dollars. You can choose something that suits your financial situation right now.

The second website is Fundrise

Fundrise.com is an online real estate investment platform that changes the investment approach in real estate. I will explain to you how it works.

How it Works
This is a real estate investment trust platform, that allows you to invest in commercial and residential real estate properties across all territories of the United States. It gives more opportunities for you. The platform pools investor funds to buy, manage, and improve properties. It generates passive income and long-term capital appreciation on this website. You can choose where to invest, commercial, residential properties, or both. It shows that your investments are protected and you can control them.

You just need to register on the Fundrise platform and browse through various investment options. The platform has a very user-friendly interface and you can check each investment option comes with its risk profile, projected returns, and investment horizon. Here is the whole information about each property. Take your time and think about what you like more. It will allow you to choose based on your financial goals and risk tolerance.

After investing, you will receive regular updates on property performance, rental income, and distributions through dividends. Fundrise handles all aspects of property management, including acquisition, leasing, maintenance, and eventual disposition. You just need to look at the growth of your investment.

Amount of Investment

Fundrise offers investment opportunities with relatively low minimum investment amounts, making real estate investing accessible to a wider range of investors. The platform typically allows investors to get started with as little as $10, although minimum investment requirements may vary depending on the specific investment options available at the time.

Fundrise.com

The platform provides you with a comfortable and transparent way to access real estate investments. Here is easy to control your investments and change your preferences when it’s needed.

You can consider real estate investing as an effective way to generate passive income and earn money over the long term. But it’s important to check all information about this type of investment, read a few books, take a course, assess risks, or get professional advice before making any investment decisions.

You also might like my other articles:

If you liked my article, please clap it 👏🏼, it costs nothing, but it will help to grow my blog. ❤️

--

--