Even when the market is cooling, investing in real estate is almost always a safe bet.

Yes, it’s often expensive to get started. The average American home is valued at nearly $330,000, a rise of nearly 9% over the last year alone. Rentals fare even better. Through 2021, the median rent in the U.S. hit a record increase of 17.6%.

And Bradley Ransome explains that those are just a few of the reasons why many consider real estate investing to be the best way to quickly build wealth.
Here’s how to get started:

Complete a Financial Self-Assessment 

Investing is one of the biggest financial decisions someone can ever make. Despite its appeal, not everyone is ready for it. Before getting started in real estate investing, it’s a must to take your financial temperature.

Financial independence is the likely goal of investing, but it’s an ambitious one especially if one has a large amount of debt, is in a low-paying or unstable job, or is living paycheck-to-paycheck.

Real estate investors also benefit from having substantial savings when they first invest to minimize risk.

Investment Options 

There are real estate investment paths for just about every investor. Some require more upfront, such as the buy-and-hold technique — buying a property and holding on to it before the sale.
This is common within the rental market where investments are often long-term financial plans.

Other investors opt for flipping a home, an approach that frequently comes with more money for repairs before a sale. Others make a smaller investment and work directly with homeowners looking to sell as de-facto real estate agents.

In wholesaling, investors make an initial full financial commitment and then sell their percentage to another investor.

Popular With Beginners 

The typically high upfront investment may turn many investors from pursuing real estate, but in today’s climate, many beginners opt for an option that doesn’t require massive real estate down payments.

Fractional ownership is available through many real estate investment platforms. Investors own small portions of a property; sometimes shares go as little as $10 if there are numerous other investors.

Many real estate developers also welcome fractional ownership in mixed-use and commercial properties, even related real estate such as parking garages. Think of it as a crowdfunded approach to real estate investing.

Another approach is using one’s existing brokerage account to buy shares in real estate investment trusts (REITs). Traded publicly, REITs let investors sell and buy stock in an instant.

Use an Online Platform

Investing in real estate was once exclusively for the well-connected or super-rich. Online investment platforms have changed the game, providing easy access to investing on their own or finding a developer to work with.

While a few of these platforms require investors to be accredited — earning more than $200,000 each of the previous two years and worth $1 million. But others, like RealtyMogul and Fundrise, are marketed directly to those who are nowhere near the accredited threshold.

Some platforms require fees, but the cost of tapping into a wide range of investment opportunities may be worth it.