Real estate investment has traditionally been reserved for the wealthy, but with the advent of companies fractionalizing real estate, anyone can become a real estate investor. Fractional ownership allows multiple investors to own a portion of a property, which reduces the burden of buying the entire property while still reaping the benefits of real estate investment.
Companies fractionalizing real estate lease, manage, and maintain properties, and divide the ownership shares into smaller units. This means that you can now invest as little as a few hundred dollars in one or more properties that would have been otherwise outside your budget. Fractional ownership also lets you diversify your investments across a range of properties, instead of investing in a single asset.
Another advantage of fractional ownership is that it lowers risks associated with owning property alone. The cost of purchasing and maintaining properties reduces considerably when shared amongst investors. It also offers a lower barrier to entry compared to traditional real estate investments.
Fractional ownership in commercial real estate can offer investors a significant return on investment due to the higher rental yields offered by these properties. Such investments could also bring security and stability to a portfolio.
Fractional ownership is democratizing the world of real estate investment, making it accessible to a wider range of people. Companies fractionalizing real estate offer the opportunity to invest in the property market, and potentially earn a passive income without the huge costs and hassle that investing in real estate often entails.
