Real estate investing no longer requires $100,000 in cash or a real estate license. Six proven methods let ordinary investors enter the market with budgets ranging from $10 to $100,000.
The most accessible option is real estate investment trusts (REITs). You can buy shares through any brokerage account for as little as the stock price, often under $50. REITs pool investor money to purchase and manage commercial and residential properties. You receive dividends from rental income and property sales without managing tenants or toilets yourself.
Crowdfunding platforms like Fundrise and RealtyMogul let investors fund development projects with $500 to $5,000 minimum investments. You become a partial owner of specific properties or development deals. Returns typically range from 6 to 12 percent annually, though liquidity is limited and projects carry risk.
Peer-to-peer lending through platforms such as LendingClub lets you loan money to real estate investors and developers. Interest rates run 5 to 10 percent, and loan terms usually last three to five years.
Fractional ownership platforms like Arrived and Fundbox let you buy slices of real properties. A $100 investment buys a fraction of an actual rental home or commercial building. You earn monthly rental income proportional to your stake.
Traditional rental property investing remains viable with 15 to 20 percent down payments. A $30,000 down payment buys a $150,000 to $200,000 property in many markets. Mortgage payments come from tenant rent while you build equity and claim tax deductions.
House flipping syndications let experienced investors manage the work. You contribute capital to a fund that purchases, renovates, and sells properties. Returns split between the sponsor and investors, typically generating 8 to 12 percent annually over