You’re ready to finally stop spinning your wheels and start bringing in large sums of revenue as a real estate investor. But to achieve this, you need two M’s: motivation and moolah. This is particularly true if you’re seeking to become an accredited investor in real estate.
The good news is that, if you meet the special requirements for becoming an accredited investor, you can reap the many rewards that come with holding this title. Here’s a rundown on the benefits of becoming an accredited investor.
What Are Accredited Real Estate Investors?
First, let’s answer the question, what is an accredited investor? An accredited investor is essentially an individual whose net worth, individually or with a spouse, surpasses $1 million. In addition, you can become an accredited investor in real estate if you made more than $200,000 per year during the past two years, or if you and your spouse made more than $300,000 during this period.
Experience Greater Returns
A major benefit of becoming an accredited investor is that you can expect greater returns. Ideally, you should pursue a return greater than 8%, which is the average return received in the stock market. Some development deals that carry a greater risk may give you an internal rate of return of 15 to 25%. The more risk you take on, the higher your return may be.
As long as you educate yourself, work with other experienced investors, and exercise due diligence, you should have no problem experiencing excellent returns. With an average return of 8%, you may double your money in nine years. However, a higher return of 12%, for example, will allow you to double your funds much sooner—in just six years.
Diversify Your Portfolio
Yet another benefit afforded to accredited investors is that they can diversify their investments in this role. Stocks tend to be volatile, but you can diversify your portfolio via commercial real estate investing. Real estate is uncorrelated or less correlated to the stock market, so even if stocks end up tanking, your real estate investments can help to buffer your losses.
Become an Accredited Real Estate Investor
Now couldn’t be a better time to stretch your real estate investment muscles by becoming an accredited investor in real estate. Work with me as I complete my next apartment syndication deal accredited property investment. I’ll help you to make the most of the deal so as to maximize your return.
I control over $700M in property, so I am adept at finding properties, creating plans for improving cash flow, and negotiating deals for winning returns. By working with me as an accredited investor, you can earn money passively—without having to work a 9-5. Get in touch with me to learn more about how I can help you to grow your bottom line as an accredited real estate investor.
Disclaimer: The views and opinions expressed in this blog post are provided for informational purposes only, and should not be construed as an offer to buy or sell any securities or to make or consider any investment or course of action.