- Joined
- Apr 11, 2006
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Not crowdfunded. They are partnerships and you're a limited partner. You get a K1 during tax season. There is typically a minimum to invest, usually 50k, sometimes 75 or 100k depending on the sponsor of the deal. You're investing in the business of someone who is full time RE, typically the asset class is large multifamily apartments. In order to buy these you need large sums of money, so sponsors form partnerships to buy a $5 million dollar property with a pool of other investors. They then add value by renovating, raising rents etc, then refinance the deal and many times you get most of your investment back within a few years and can reinvest that $$$.
I've been interested in RE for years but didn't really want to landlord so I found this method. Just getting started but have put money in and done a ton of research and vetting. There are some excellent podcasts for education regarding passive RE investment. Like anything else there is a learning curve and you can learn as much or as little as you want.
I'll send you a PM with examples of these partnerships and some podcasts. If it doesn't violate the terms of site I can post them openly but I don't know the rules regarding that.
