Any financial advisor worth their salt will tell you that diversifying your portfolio with real estate is a smart move. Historically, real estate’s returns have been on par with those of stocks, but half as volatile. Therefore, they may advise you to buy a good piece of property, rent it out, and collect monthly rent while your property balloons in value. What they’ll often forget to mention, though, are these eleven painstaking steps you’ll need to go through before you start raking in those juicy real estate profits:
- Look up properties near you
- Find a lender
- Tour potential homes while constantly looking out for flaws that the realtor won’t include in their pitch
- Make an offer and hope for the best
- Close on the home
- Write a $50k check
- Renovate to the best of your ability (this alone can sometimes take months)
- List the home on real estate websites
- Show the home to the interested potential tenants
- Settle for the ones that seem normal and sign a lease
- Manage accounting and organize taxes, every year
And this is the best-case scenario.
In reality, things look very different. The bank rejects the loan application that took you weeks to put together. A spacious 3-bedroom beauty with a pool becomes a money pit that drains thousands each year in maintenance. Tenants that seemed nice during the showing turn into a nightmare you can’t easily get rid of (no matter how right you are, you have to wait for a court-mandated eviction order for that one).
With that in mind, it comes as no surprise that a startup like Arrived Homes came onto the scene and took the market by storm.
Click Here To Check Out What It Offers
Arrived is a real estate investment company that lets you collect rent dividends from rentals without lifting a finger. Arrived’s professional staff does everything from finding tenants to filing taxes, while the rent lands in your account and your shares appreciate in value. And it has some serious backing behind it.
One of the greatest believers in the company’s bright future is none other than the founder of Amazon himself. Jeff Bezos invested in the company’s seed and series A rounds. Interestingly, two other big names in the business world also believe in Arrived: Uber’s CEO Dara Khosrowshahi and Salesforce’s Co-CEO Marc Benioff have also invested hefty sums into the company.
While seeing the names of these billionaires may suggest that Arrived requires a tremendous minimal investment - that couldn’t be further from the truth. Anyone with $100 to spare can get in on this and collect hassle-free passive income.
Arrived takes care of everything. And, surprisingly, most of the work happens before you are even able to buy shares.
Historical annual returns in the US span from 5% to 12% on average. However, Arrived doesn’t aim for the average. It uses a meticulous vetting process to find the properties that are set to skyrocket in value.
Before a listing goes online, it must first pass the inspection of data scientists who use AI to single out promising homes in up-and-coming neighborhoods across 27 different real estate markets in the US. Then, local real estate experts are consulted to share their first-hand insights about the property. Finally, a report is submitted to an investment committee for approval. The listing gets uploaded to the site only once they estimate that the property is able to bring in substantial returns for investors.
See The Properties That Made The Cut
When investors acquire shares, they take on zero operational responsibility. The company hires professionals who handle maintenance requests, repairs, payment collection and every other chore that comes with owning a rental property.
The elephant in the room: this privilege to let others handle everything has to cost huge sums of money, right? Not quite.
Arrived brings the costs down to a minimum through two methods. The first is the good old benefits of scale: since the company owns multiple properties in the area, this opens up many opportunities for cost-cutting, not only including negotiating better rates with sales agents and contractors, but also buying certain maintenance services in bulk to further lower costs. Additionally, Arrived’s agents are supplied with common repair items so they can fix problems immediately and contribute to the overall happiness of renters.
The second method they use to cut costs is - experience. While they go about their daily tasks, Arrived’s teams are constantly looking for ways to lower costs, since doing so brings higher returns both for the company and its shareholders.
If you’ve thought about investing in real estate but wanted to get around the hassle that usually comes with it, we strongly suggest taking a closer look at Arrived.
This post contains sponsored advertising content. This content is for informational purposes only and not intended to be investing advice.
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