How to Make Money in Real Estate Without the Need of Becoming an Agent
The building, buying, selling, renting and managing valuable and immovable property is known as real estate. Examples of real estate properties are land, houses, and buildings. It is advisable to invest in real estate since the population is increasing and real estate property never depreciates. The real estate industry could be different if there are no agents. An agent links real estate buyers to sellers. Some people would like to make money in real estate, but they dont want to become agents. Below are ways you can make money in real estate without being an agent.
A real estate non-agent can make money through rentership. Today, rental units are in high demand. Buy buying property and renting it out instead of selling it, you will make a profit. Renting out property will enable you to service your mortgage loan and earn an income. Duplexes and triplexes and other multi-family dwelling are the best properties beginners should purchase. You can also invest in commercial property which has several units. This guide has more on rentership.
Wholesaling is another way of making money in real estate if you dont want to be an agent. You dont need personal investment to become a wholesaler in real estate. Real estate wholesaling involves offering deals to buyers at prices which are relatively higher. If you have improved negotiation skills, wholesaling will be favorable for you.
Fixing and flipping is another method of earning money in real estate if you dont want to be an agent. The 70% rule has made fixing and flipping a success. You need to buy property which needs repairs. Then you should repair the property and sell it at a higher price. The successful people in fixing and flipping abide by the 70% rule.
You can make money in real estate without being an agent by lending hard money. If you dont qualify for a loan which is conventional, you can still own property. Some people do not want to borrow conventional loans because of the numerous requirements. Hard money lending attracts an interest which is higher.
Buying notes will enable you to earn money in real estate. Notes are also known as deeds. The mortgage lender holds on deeds after issuing a loan to a borrower. The note is issued back after the borrower has paid the mortgage. You are supposed to buy the deeds, and you will collect the monthly payments made by the borrowers.
If you would like to get a share of the income made in real estate, but you dont want to become an agent, you should start managing property. By collecting rent, dealing with evictions, managing tenants and many more, you will earn 5% to 12% of the amount paid monthly by the tenants.