Or are there better ways to invest that are just as effective and efficient—with less risk?
Is ownership really the dream we’re after—or is it more about control?
Here are some of ways you can mix up “pure” ownership with other ways of controlling deals.
Trusts Of course, some things make more sense to own outright, like shares of the business you run, but there are many things we can control without owning and still enjoy a lot of the benefits of without all the risks that could come along with ownership.
As I’ve always said, “The best form of asset protection is not to own anything.” Fractional Ownership Another great way to invest in real estate without taking on too much risk is to only own part of the deal.
Another way that comes to mind is if you passively, usually for a preferred return with or without upside, invest in a company or fund that invests in real estate.
Related: 10 Real Estate Markets Where The “Buy and Hold” Strategy Actually Made Sense Control Without Ownership Other than managing a trust, the next big way to have control of real estate without ownership is through options.
For example, doing a sandwich lease option is the epitome of being able to capitalize on a deal you don’t even own.
Control With Ownership That said, it is also possible to have control with ownership in a way where there is very little risk, and a perfect example of this is buying a property “subject to” the mortgage.
So what are some of your favorite strategies for mitigating or limiting risk while investing in real estate?