Real estate investing is a tried-and-true approach to building wealth and generating passive income.
If you’re interested in real estate investing, HNB Realty is here to assist with a variety of techniques. Our team of passionate experts will work with you to assess your situation and choose the approach that will work best for you.
Outlined below are some of the investing strategies we recommend most often to our clients.
The Buy Hold investment strategy is a long-term passive strategy. Investors who take this approach buy properties and then hold onto them for an extended period of time.
We recommend buying and holding to those who want to maintain a stable portfolio and are willing to wait out short-term market fluctuations.
If you have well-defined financial goals and are interested in playing the long game, this is a good strategy to consider.
The Buy Rehab Hold strategy is similar to the Buy Hold strategy. The main difference is that the investor works on the property after buying to make it more livable and marketable, and ultimately increase its market value.
Even if you’re not interested in flipping houses, buying at a lower price and rehabbing properties can still be a good option. If you’re willing to put in the effort to increase a property’s resale value over time, you can see greater returns when you do finally decide to sell or refinance your asset.
When you work with us at HNB Realty, you have the advantage of our preferential contracting rates for renovation services.
The House Hacking Strategy is a popular one, especially among new real estate investors. It involves buying a property and then renting a portion of the asset out to tenants.
If you take this approach, you will be using the tenant’s rent payments to pay off all or a portion of your monthly mortgage and bills on the property.
House Hacking is a good strategy for those who are new to real estate investment and are starting their real estate investing journey.
As a bonus, the House Hacking approach offers lower interest rates for first-time buyers since they can often qualify for FHA loans (as long as they live on the property they’re buying and renting out).
Syndicated investments involve a transaction between a group of real estate investors and a sponsor.
The sponsor acts as the manager and operator. He finds the deal and manages all aspects of the project to ensure optimal financial performance and delivery.
The other real estate investors provide the majority of the financial equity (typically 80-95 percent of the total capital) and are passive investors.
Syndicated investments are usually structured as LLCs or Limited Partnerships. The sponsor will act as the General Partner or Manager and the investors will be limited partners or passive members.
At HNB Realty, we use proven methods to help you see great results and get the most out of your investments. We work hard to help you build wealth and passive income while also protecting you from legal challenges and financial pitfalls.
Our team closely monitors the market and measures risk based on your own financial situation and tolerance. We always strive to help you find quality investments and set yourself up for long-term success.