Passive Real Estate Investing To Diversify A Portfolio


For many, looking for investment opportunities with less volatility, lower risk and the possibility of better returns has led many sophisticated investors to look at passive real estate investing through sites such as Fund That Flip.


Millennials especially are interested in exploring passive real estate investing as a great way to earn higher returns on their investments than investing in stocks. 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.


Another reason for the diversification and growth pursued by investors is risk mitigation, which can be achieved through a portfolio that is spread across many types of investments and industries. By investing in different types of assets, you are able to avoid the total loss of your investments if one segment of your portfolio drops in value. 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 wide variety of properties, including investing in different locations, different asset classes, pooled funds of properties, or even a real estate investment trusts (REITs).


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 online crowdfunding platform that facilitates the financing of residential development and renovation 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 extensive team expertise and high specialization in the asset class.


Fund That Flip’s platform provides thorough screening and due diligence of each team, primarily working with experienced investors who buy and rehab 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 9% by investing in its qualified real estate loans.


After the craziness that was 2020, real estate investing has changed in multiple ways, and some are finding it better to stay away from commercial real estate 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.


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