If you are considering the world of real estate investment as a way to generate income, you should educate yourself on all of your options. There are many more real estate investment options than what you’ve seen on TV shows. If you want to begin your career as a real estate investor in Charleroi, Pennsylvania, be sure you consider all of your options.
Triple-Net Leased Properties
Triple-net leased properties are popular in the world of medical clinics and other professional businesses. In this type of setup, the tenant is primarily responsible for any maintenance on the building, taxes and other expenses associated with the building. There are risks to putting a lot of your money into a single building under this setup, so you will want to be careful with these investments.
REITs are a type of company that owns the subject property, so when you invest in a REIT you are really investing in the company more than the property itself. REITs essentially work like a share of stock in a particular real estate company. They pay their investors in dividends which are subject to taxation.
One of the biggest benefits of a REIT is that you are not solely responsible for any of the building maintenance or other issues. Even though the market can be volatile, REITs do provide a more passive income.
Standard Rental Properties
If you don’t want to go through the process of reselling a home after you buy it and have repairs performed, you can also rent your property out. Whether you own a residential or commercial property, this type of investment does allow you to earn a consistent income. However, as the owner, any expenses pertaining to the building will ultimately be your responsibility.
If you are considering real estate investment, you should employ the services of an attorney who knows the laws that govern real estate transactions in your state. This attorney can help you decide what type of investment is best for you and help you operate within the laws of your state.