extensive derivative trading expertise, Adam is an expert in economics and behavioral finance. Adam received his master's in economics from The New School for Social Research and his Ph.D. from the University of Wisconsin-Madison in sociology. He is a CFA charter holder as well as holding FINRA Series 7, 55 & 63 licenses. He currently researches and teaches economic sociology and the social studies of finance at the Hebrew University in Jerusalem. Published January 23, 2024 Passive real estate investing involves owning properties without having to manage them actively. It enables investors to generate income from real estate while avoiding the responsibilities of being a landlord. The key distinction between passive and active real estate investing is that another party handles tasks like tenant screening, maintenance, and repairs for the former. The passive investor is effectively a silent partner who contributes capital but is not involved in overseeing the property. KEY TAKEAWAYS • Passive real estate investment furnishes access to this asset class without hands-on involvement or management. • Passive real estate investing can take many forms, including real estate investment trusts (REITs), crowdfunding, syndications, and more, offering investors flexibility. • Many passive real estate investments, such as crowdfunding and REITs, allow entry at lower capital outlays than traditional property ownership. • These investments can generate a steady stream of passive income through rental yields or dividends, making them an attractive option for income-focused investors.
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