Direct real estate investing involves ownership of real property. If the property is income producing, such as single family homes, apartments, office buildings, warehouses or retail centers, the investor must be involved in the day to day management of his property. If the property management is out sourced the investor gives up a significant portion of his return to the management company; further the property manager must still be managed and major decisions affecting the property such as repairs, capital improvements, expenditures, market positioning, timing of sales, rent rates etc., must still be made by the investor. If the investor is a rehabber or flipper, real estate becomes more of a business rather than an investment. Many successful real estate “investors” are actually real estate “operators” in the real estate business.
Perhaps you, like I, want to capture the high yields and potential capital appreciation of investing in highyieldrealestate.com, but dont want the management hassles and time commitment involved in direct property ownership. Maybe you have a full time job or business, or perhaps your retired looking for greater income than bank CDs and greater security than a volatile stock market. Or perhaps like me, having owned income producing property for many years, youre tired of “tenants and toilets”. If so, consider indirect real estate investment, i.e., investing in real estate securities.