1. Buy a single-family home and rent it out
Buying a single-family home and renting it out will only generate income if overhead costs are low.. Ideally, your monthly mortgage payment will be relatively fixed, while rent prices rise, increasing the amount of money you pocket over time.
2.Buy a multifamily building and sell off the units later
calls this a “condo conversion,” wherein you buy a multifamily building, rent out the units, and then later turn the units into condos and sell them off individually.
“So the idea is, you buy the building for a little bit of a discount, and then eventually you’re able to sell for top dollar ,You have cash flow in the short-term, appreciation in the long-term for building wealth over 15 or 20 years, and then … ways to force appreciation if you need to get out.
3.Buy a fixer upper and flip it
While the fixer upper strategy has been glorified by popular culture, it remains one of the most time-consuming and costly ways to invest in real estate — but it also has the potential to produce the biggest gains.