Pros and Cons of Passive Real Estate Investing

passive real estate investing has many benefits, and of course some drawbacks. You don't need a down payment, pay rehab costs, or get a hard money loan to get started. Most active investors will never get to invest in mansions, high rises, or other luxurious properties. With equity crowd funding, passive real estate investors can diversify their investments by owning several properties to assume less risk. Real estate investments in REITs are often taxed higher than other forms of taxable income.