Understanding Passive Vs. Active Real Estate Investing
If you’re just getting started with real estate investing in Portland, you’re going to hear about passive vs. active real estate investing.
Understanding these two forms of Oregon real estate investing is important because it can mean the difference between spending time and money managing your property or enjoying the income from your property without having to do any work.
What Is Passive Real Estate Investing?
Passive real estate investing means you’re investing in real estate without having to do little to no work yourself.
When it comes to owning physical rental properties, you can enjoy passive REO investing by hiring a property manager to manage your property for you.
Some of the services that a property manager can offer you include:
- Property marketing
- Tenant selection / placement
- Rent collection
- Customer service
- And more!
Besides physical rental properties, you can also enjoy passive single family investing by investing in Real Estate Investment Trusts.
Starting as a passive investor is ideal because this means that you can work a full-time job or manage your other business without having to allocate large chunks of time to your new venture.
Active Real Estate Investing
Let’s face it, being an active real estate investor means that you’re thoroughly involved in most (or all) aspects of managing your investments.
As an active investor, you’re involved with the day-to-day operations of your property including screening/placing new tenants, property marketing, maintenance, collections, and more.
The decision to be an active vs. passive investor is up to you but, if your goal is to have more time to create wealth, being a passive investor is ideal because you will have more time to devote to wealth creation and enjoying life.
Contact Ren Portland Homes – Professionals
At Rent Portland Homes – Professionals, we offer local property management for single-family and multifamily properties across the PDX area.
Our team will save you the time/money and hassle of managing your rental properties yourself so you can focus on building a passive portfolio of income properties.
To learn more about the services we can offer you, contact us today by calling (503) 447-7735 or click here to connect with us online.