Fund That Flip’s Passive Real Estate Investing Options Have Become Essential to Those Looking to Diversify Their Portfolios
Passive real estate investing has become an attractive alternative for sophisticated investors looking to diversify their portfolios. For many, having an investment opportunity with less volatility, lower risk and the possibility of better returns has led many to explore companies like real estate investing platform Fund That Flip.
Millennials in particular are interested in exploring passive real estate investing as a high-yield opportunity. With financial experts now saying their generation will need a minimum of $500,000 for retirement, millennials are finding opportunities like passive real estate investing to be instrumental in their future plans. The passive real estate investment market is also attracting the attention of younger millennials and Generation Z as they look to put money away for residual income or college. Companies such as Fund That Flip, however, are required by the SEC to verify accreditation status from these groups before investing.
With the advent of real estate crowdfunding offered online by platforms like Fund That Flip, people can now make direct investments in individual real estate transactions by pooling financial capital with other investors in debt-based investments while reaping the benefits of passive investing. Using Fund That Flip, investors can get into the passive real estate crowdfunding option for as little as $5,000 per individual investment or even $1,000 increments in their fund offerings.
Fund That Flip has developed a proprietary online crowdfunding platform that facilitates the financing of residential redevelopment projects. The company specializes in short-term loans intended for fix-and-flip, new construction, and other investment projects, including single-family homes and 1-8 unit multifamily properties.
One of the main aspects that differentiates Fund That Flip is the type of investment opportunities the company offers. While other real estate investment platforms allow customers to participate in large-scale commercial real estate projects, Fund That Flip focuses on providing residential investment opportunities through deep team expertise and specialization in the asset class.
Fund That Flip’s platform provides robust screening and due diligence of each redeveloper, primarily working with experienced investors who buy and rehabilitate residential properties, enabling these real estate developers to offer attractive housing by modernizing distressed homes. The company also promotes an annual yield of up to 10% by investing in its qualified real estate loans.
Another significant motivator for the diversification and growth pursued by investors is risk mitigation, which can be achieved through a portfolio that is multivariate. By investing in different types of assets, you are able to avoid the totality of your investments disappearing if one segment of your portfolio falls flat. It’s common for the market to fluctuate, which can be dangerous if you invest in only one type of asset class, for example, stocks and equities, or even a single type of real estate. With a diverse real estate investment portfolio like the options offered at Fund That Flip, you can easily invest across a breadth of properties, including investing in different locations, different asset classes, pooled funds of properties, or real estate investment trusts (REITs).
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Single-family or multifamily properties: Investing in individual properties is a great way to bulk up your real estate portfolio, and you can do this online at Fund That Flip.
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Real estate investment trusts (REITs): REITs are an option for investors looking to invest without adding more properties to their portfolios. REITs are akin to mutual funds, where investors buy shares and the REIT’s managers invest the capital.
After the uncertainty of 2020, real estate investing has changed in many ways, and some investors are finding it better to stay away from commercial real estate subsectors like strip malls, office complexes and hotels that the pandemic has crushed. That’s one of the reasons companies focused on residential investments like Fund That Flip are flourishing and providing attractive and sustained opportunities for their investors.
For more information on Fund That Flip, go to www.fundthatflip.com.
Image provided by Fund That Flip
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