How to Invest in Real Estate With Very Little Money

Did you know that you don’t need to buy a home to begin to invest in real estate? Well, you may be surprised to learn that real estate investing isn’t all about huge investments and owning a slew of properties. The reality is that, nowadays, there are a variety of ways to invest in real estate with just a bit of planning, time, and strategic investments. Discover four methods you can use to invest in real estate without much capital today.

House Hacking

We’ve all heard of a life hack, or something that makes your life easier, but what about a house hack? Well, a house hack involves finding a way to generate income from your current home. Depending on the square meters available, you can convert one or more spaces such as a garage, basement, or guest room into an extra unit that you rent to gain income. It’s also common to move into a duplex or triplex, live in one unit, and rent the others out. Honestly, there are so many options when it comes to house hacking!

Flip Your House

We’re huge fans of house flipping , because we’ve seen the profit it can bring. A house flip means buying a property that needs repair for a low price, fixing it up, and selling it for double or more of the price you bought it for. When approaching house flipping from the live-in perspective, it’s a longer-term investment that can take around 2-5 years to come to fruition. However, living in the home for a portion of that time can allow you to pay significantly less or no taxes (up to a certain amount) depending on where you live.

Try Master Leasing

Renting or leasing a property is another easy way to invest in real estate and generate income. Of course, you’ll have to read your contract carefully, as well as get permission from the property owner. Still, it’s quite common to lease a property and then sub-lease extra rooms or units to other people. Master leasing is a real estate technique that can be accomplished without very much money upfront, and you can even negotiate the option to purchase if you love the property.

Create Partnerships

One of the oldest tricks in the real estate book is building partnerships. By that, we don’t simply mean finding a colleague or coworker to partner with on projects, but instead, someone who is willing to invest for you. Credit partnerships are perhaps the most common types of partnerships that work with you finding an investment deal, then the partner uses their funds to get a loan and invest, and after you lease the property from your partner at a higher price. This method requires you to plan carefully, as you’ll be using someone else’s money, but can pay off when everything is said and done.

Over to You

Investing in real estate doesn’t only require having a lot of disposable funds, as expertly invested funds can provide a substantial yet passive income, as well. At Wanderlust Realty, we have years of experience advising investors on how to invest their money wisely for guaranteed returns on investment. We collaborate with investors of every kind, from large to small, to help them find opportunities that will work for them. Curious to find out about our current investment opportunities? Visit our investor’s services page now.