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A commonly known fact that always goes around is that millionaires have an average of seven sources of income. One of those incomes almost always have to do with real estate, a market that almost never declines (aside from certain outliers) and usually holds its value and increases steadily throughout the years.

While it seems like a no-brainer, people often become discouraged by the strings attached to real estate investing. That’s a misnomer though. While yes some ventures are more involved than other, it is possible to make a passive income with properties.

The most common way is buying a rental property. Buying a house or building, and renting it out to others creates a steady source of income monthly that will come in regardless of any factors. As long as a business or person is living in your place, income will come. As Peter Abualzolof says, “Simply put, if a property generates positive cash flow, that is, after you pay off taxes, maintenance, and insurance with the collected rent and you still have a solid amount left, you have made a good investment. Now, to make such an ordinary yet lucrative investment passive, hire a property manager.” The point being, the owner doesn’t have to manage everything. They just need to set up the infrastructure then stand aside and allow the property manager to handle the day to day.

Another way is to invest in REITs. REITs are Real Estate Investment Trusts. If a person doesn’t care for the day-to-day routine of buying and managing rental properties (even with a property manager), investing in the market itself is a good way to do things. These trusts invest in almost anything real estate related and pass the dividends along to the investors. As described on Investopedia, “For a company to qualify as a REIT, it must meet certain regulatory guidelines. REITs often trade on major exchanges like other securities and provide investors with a liquid stake in real estate.” This is a passive way of investing in the entire sector itself rather than going into business for yourself. It can also create a buffer and eliminate a portion of the risk.

Crowdfunding and other related ventures have also become interesting alternatives. It may not be the conventional way of invest, but there are now crowdfunding websites where a person can upload their business plan and ask for investment, guaranteeing different returns for different amounts of money invested. Anything from clubs to restaurants to condominiums can be posted up for the investor’s perusal and analysis. This is a rather newer way of doing things, along the lines of crowdfunding for creating products or for personal loans. Along with bonuses for signing up and referral money for getting other people involved, this new area is rife with opportunity with a bit of research.