Funds

If you want true passive income, then you want to invest into real estate private equity funds and syndications. These offer the passive returns for busy professionals. There are capital heavy with minimums of $50,000 and above, but can also have very high returns, typically 15-30% IRR. For reference the S&P 500 (a global stock market benchmark) will net you 12% on a good year. Almost all PE funds exceed these numbers regularly. Depending on the partnership type you may even be able to leverage some of the properties’ depreciation on your taxes. You typically need to be an accredited investor to be eligible to invest. Accredited investors generally make $200,000 annually and have a net worth of at least $1M excluding a primary. These can also have terms you’ll have to take not of like what your partnership is, outlines on preferred returns and the profit structure. Your fund is only as good as the manager so choosing the right fund and manager is imperative. Consult us for recommendations.