Lazy people can rejoice that there are now more jobs than ever before that suit a lazy person.
To be lazy doesn’t necessarily mean you want to be a couch potato.
It could simply mean that you don’t want to spend 80 hours a week grinding at a job you hate. Sure, you would be wealthier if you worked more, but you would miss out on time pursuing your interests.
Instead, you can find jobs for lazy people that don’t require much effort, pay enough for your needs, and leave you lots of free time to pursue the things you love.
What Is A Job For Lazy People
When talking about laziness, Bill Gates famously said, “I choose a lazy person to do a hard job. Because a lazy person will find an easy way to do it.“
What exactly is a lazy person?
Everyone has their own ideas of what a lazy person is. Construction workers probably think office workers are lazy folks. Office workers might think stay-at-home-parents are lazy. And the super-rich thinks everyone not at their level is lazy.
The dictionary definition of the word lazy is “unwilling to work or use energy.”
Although there are truly lazy people out there, when we talk about jobs for lazy people, we mean people that want to work but as little as possible.
Getting up early, spending an hour or more commuting to work, and working 8+ hours a day for 5 days a week is not most people’s dream. Unless you happen to work your dream job, of course. Otherwise, working one hour in a job you hate feels like an extra-long hour.
Does that make you lazy?
Maybe. But there are jobs out there to suit people of all lifestyles.
A lazy job is one that requires minimal effort. You may not need to speak to anyone or even leave the comfort of your own home. A low-stress job is sometimes worth the sacrifice of lower earnings.
If you can earn a regular income doing very little, then you can live your dream life as a lazy person.
19 Jobs For Lazy People
These 19 jobs for lazy people cover the full spectrum of laziness. Jobs you can do from home, on your mobile device, and even jobs that let you sleep are included. Time to find the perfect job for a lazy person.
1. Answering Surveys
Answering surveys has got to be one of the ultimate lazy jobs. You can answer surveys anywhere using your mobile device. Want to laze in bed earning cash by answering surveys, go right ahead.
Surveys take a few minutes to do and you’re simply clicking a button to answer some questions.
Here are some top survey sites to start with:
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Swagbucks
To earn more money, make sure to complete your profile by entering all required fields, referring friends, and looking out for bonus ways to earn.
Some sites even give you free cash when you sign up.
To take answering surveys to the next level, you could also be a panelist.
These require a little more effort, such as doing interviews via zoom. However, most panelist gigs are still home-based.
Panelist opportunities pay more as they usually need professionals with specific skills.
Check out:
2. Bed Tester
Getting paid to sleep sounds too good to be true, doesn’t it?
You’ll be pleased to know that paid bed testing is a real thing. Hotels, mattress companies, and other researchers all pay good money for completing a bed test.
For anyone that enjoys sleeping, this is the best job. To earn extra money as a bed tester, you just need to check job boards online to reveal bed testing opportunities in your area.
3. Binge Watch TV
TV addicts can rejoice as they can now get paid for watching their favorite show.
Platforms like Netflix hire people to binge-watch their content. Your role is to help categorize every piece of content.
There are also sites that pay you to watch videos. Most are short, and you can leave the videos playing while doing other things.
You can earn extra money by watching videos on the following platforms:
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Swagbucks
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Inbox Dollars
4. Data Entry
Data entry jobs are ideal for lazy people. That’s because the work is often repetitive and requires minimal effort.
You will need to maintain accuracy for long periods. If your concentration skills are out of this world, then data entry could be just a simple job for you.
Lots of freelance platforms offer data entry work, including:
Data shows the average salary in the US for a data entry job is approximately $32,000. Not bad for a lazy job.
5. House Sitter
Housesitting is a super easy job for lazy people. All you need to do is stay in someone else’s home while they’re away. Sometimes a house sitter may need to water plants or look after the family pets.
Other than making sure the house is tidy for the owner’s return, there is little else to do.
To save you the effort of looking for housesitting jobs, here are a few housesitting platforms to start with:
6. Influencer
Influencers build a following online by regularly posting content and engaging with followers. Instagram, TikTok, and Pinterest are most influencers’ first choice of platforms to start with.
Once you’ve gained a following, then you can monetize your social media account. Paid ads, sponsored posts, and selling merch are a few ways to make money as an influencer.
You may think you need millions of fans to be a successful influencer.
That’s no longer true. Micro-Influencers earn cash sometimes from just a few thousand followers. The key is to become an expert in the topic. That way, followers of a niche subject will follow you and companies related to that field will pay you to connect with those potential customers.
Micro-Influencers can earn up to $100,000 per year. That’s with a following of up to 50,000.
7. Model Foreigner
Do you enjoy traveling? If so, you could get paid for it.
Lots of companies pay for people to take a holiday and stay in their hotels. You get a free holiday and get paid.
Why not combine this with influencing and build two incomes?
Lazy people love getting paid to travel. You can laze around a beach or glamorous hotel, and the only work your doing is taking lots of pictures.
For anyone going to China, look out for these opportunities. That’s because renting a foreigner to appear at events is a huge business in China. You could get paid over $100 just for going to an event.
8. Mystery Shopper
To be a mystery shopper, you simply need to go shopping and report your experience.
You get paid, some mystery shopping programs pay for your stuff, and it’s a low-effort way to earn cash.
Here are some great sites to start as a mystery shopper:
9. Product Tester
Companies of all sizes test their products using real people. Feedback from users like you can help refine a product or service.
Product testing lets you influence a product before others get the chance to see it. You get paid and usually get to keep the product. Plus, it’s not hard work at all.
To start product testing, sign up to:
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User Testing
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American Consumer Opinion
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JJ Friends & Neighbors
10. Professional Cuddler
Research shows that human contact like cuddling, is important for mental and physical well-being.
In the modern world, there are some people that struggle to get those much-needed hugs.
If you enjoy cuddling and are happy to cuddle anyone, then you can be a professional cuddler. This is an awesome way to earn cash as a lazy person. All you need to do is cuddle.
Professional cuddling jobs can be found at:
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Cuddle Comfort
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Cuddle Up To Me
11. Paid Mourner
Professional mourners are nothing new. Living relatives may want their deceased loved ones to have the best funeral possible. Sometimes that means paying mourners so that the funeral has a bigger attendance.
If you’re looking for a lazy job for lazy people, then this is a good one. All you need to do is attend a funeral and act accordingly. That’s it.
To find paid mourner gigs do an online search for your local area.
12. Rent A Friend
People lead busy lives which often means they neglect their social life. For lazy people, this means you could earn up to $50 an hour as a rent-a-friend.
You might meet people online only or in real life. Provided you can hold a conversation and take an interest in the activities the renter enjoys, this could be an easy way to earn extra cash. Here are a couple of rent-a-friend platforms to start with:
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FriendPC
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Rent A Friend
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Rent A Local Friend
If you’re comfortable flirting with strangers online, then Chat Recruit allows you to do exactly that and get paid.
Getting paid to flirt online is great for lazy people as you don’t have to get dressed up or worry about how you look. Conversations are going to be adult in nature, so don’t apply for this unless you’re comfortable with potentially explicit conversations.
13. Rideshare Driver
Driving is a top job for lazy people. All you must do is sit and drive all day. You don’t even have to talk to the passengers if you don’t want to. Although you may get better tips by being friendly.
Uber and Lyft are two ride-sharing platforms anyone that meets the requirements can drive for.
If driving people around sounds like too much effort for you, why not deliver food?
DoorDash, Postmates, and Instacart all offer the chance to become a freelance food delivery driver!
If you want to be truly lazy, you could rent out your car for others to use and not even do any driving. Check out Turo if you’re interested in renting out your car.
Recommended: How to Make Money Renting Your Car on Turo
14. Sleep Study Participant
Sleep studies are a great job for lazy people. You sign up for a study, go to the test location, and get paid to be a test subject.
Depending on the study, you may be hooked up to monitoring devices recording your brain patterns or bodily functions while sleeping.
These studies are important for science as they help understand how and why we sleep. All this data can lead to scientific advancements.
15. Sports Fan
Sports fans that are looking for a lazy job will be delighted to learn you can get paid to watch sports.
Companies hire sports fans to take clients to games. That’s because your knowledge and passion for the game will make the client’s experience much better.
Check out Crowds-on-Demand to get started.
16. Streamer
A successful streamer posts regular content to their channel. The great thing about streaming is it can be about anything. Popular streaming topics are:
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Fashion
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Gaming
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Cooking
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Travel
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How-to guides
Starting a channel costs nothing on platforms like Twitch or YouTube.
Once you’ve got a following, you can make money. To make money as a streamer, you can:
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Charge a subscription fee
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Ask for donations
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Sell merch
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Get sponsored
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Add affiliate links
Recommended: Making Money On Discord [10 Genius Ways]
17. TV & Movie Extra
Working as a TV & move extra is the ultimate lazy job. You usually don’t have to learn lines or do much of anything. Most extra work involves standing or sitting in the background and not being distracting.
If you aspire to become a star, then extra work could be the first step on the path to stardom.
To find work as a TV and movie extra, you could join a casting agency, go to local casting calls, or search online for work as an extra.
Recommended: 7 Awesome TV Show Idea Submission Sites
18. Video Game Tester
Playing video games is fun, which means working as a video game tester is an ideal job for lazy people.
Video game companies often need testers before a game is released. You can test for bugs, playability, and how well the game runs.
So who could you test for? Global gaming brands needing testers include:
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Xbox
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PlayStation
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Nintendo
Check online often to see when these opportunities are open.
19. Voiceover Artist
Anyone with a voice can find work as a voiceover artist. YouTube videos, audiobooks, and more all need voiceover artists.
Check out these sites to find work as a voiceover artist:
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Voices
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Backstage
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Upwork
FAQs
What other jobs for lazy people are there?
If the easiest job for you isn’t listed above, there are some others you could look for. Beer taster, court reporter, English teacher, food critic, librarian, line stand-in, massage therapist, private detective, security guard, and test proctor are the 10 best jobs for lazy people you could look for in addition to those listed above.
Is an English teacher a lazy job?
Game designer Andy Lee Chaisiri is quoted as saying, “One out of every three English teachers I’ve met in Beijing describe themselves as intelligent but very lazy.”
Teaching English as a foreign language in countries like China can be a lazy job. That’s because often the only requirement is that you speak English. You don’t need to study for a degree or any other experience.
What’s the easiest job for a lazy person?
In a recent post, Business analyst Matthew Kuzma said, “The best possible job for someone who is intelligent but lazy would be to be a professional expert at something.”
Essentially, if you can get paid to do something you enjoy, then that’s ideal for lazy people. Watching TV, streaming yourself, playing video games, or doing bed testing are some good examples of this.
Is programming an easy job for lazy people?
Programming can be an easy job for lazy people, as once you know what you’re doing, most processes can be automated.
Tech-policy analyst Paul Denlinger summed this up when he wrote in a related post, ‘Good programmers write as few lines of code as possible, and it is one of those professions which pays well, while at the same time, encouraging laziness.’
What is the easiest job that pays the most?
Housesitting, streaming, and data entry jobs have the potential to be the easiest jobs that pay the most. However, all jobs could provide a great income if you put the work in. Although you might have to be less lazy to do that.
How can I make money with no skills?
You don’t need any skills or qualifications to start any of the jobs listed above. That’s one reason they’re jobs for lazy people. Because you don’t have to spend years training to do them.
If you meet any relevant criteria, then you can start working these lazy jobs. Age limits, background checks, and language requirements may be necessary for some roles. For example, Uber drivers need to hold a valid driving license.
Recommended: 22 Awesome Things To Buy With 1000 Dollars
This article originally appeared on Lifeupswing.com and was syndicated by MediaFeed.org.
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17 ‘lazy’ ways to invest in real estate
There’s no doubt about it – real estate has been one of the most consistent wealth-producing asset classes for decades. And while real estate can be a full-time job, there are “lazy” ways to invest in it. And, sure there are real estate market corrections just like in any market. But the essential and tangible nature of housing has caused real estate values to always trend upward.
However, many real estate investing strategies require a significant amount of work. Flipping houses and managing tenants keep many investors so busy they can hardly keep their noses above the water.
Fortunately, there are many “lazy” ways to invest in real estate. By lazy, we mean creative strategies that get around the obstacles that many investors face, such as time limitations, minimal savings, or poor credit.
But don’t misunderstand; every investing strategy requires work. There is no such thing as truly passive income. Even investors that enjoy passive income today had to spend time and effort in the past to establish those income streams.
Nevertheless, these strategies follow the “work smarter, not harder” philosophy. They are designed to help real estate investors maximize their time and resources and grow their wealth as quickly as possible.
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Many investors get into real estate and are disappointed when they learn most lenders require at least 20% down on every new purchase. Not only that, but interest rates are typically higher for investment properties because banks see them as a higher risk.
To get around this, many investors purchase a home as their primary residence and turn it into an investment property. This allows them to take advantage of loan programs only offered to owner-occupants. For example, an FHA loan will only require a 3.5% down payment.
While this strategy isn’t necessarily scaleable since homeowners can only have one of these loans active at a time, it can certainly help investors start growing their portfolio and compound it over time.
istockphoto/demaerre
House flipping is one of the most well-known real estate investing strategies – but, I’d forgive you for thinking it wasn’t exactly lazy. However, the fast pace and funding resources this strategy requires can make it quite grueling for new investors. On top of that, profit from flipping a house is taxed as ordinary income, which can destroy the bottom line.
An alternative approach to the traditional house flipping model is the live-in flip. This strategy involves purchasing a house to live in, fixing it up while living there, and selling it for a profit.
One of the primary benefits for investors that use this approach is that they can access a favorable loan such as an FHA or VA loan. However, one thing to consider is that the house must be in decent shape at the time of purchase. A traditional lender may not approve the purchase if the home is in major disrepair.
Another benefit of the live-in flip is its significant tax advantages over a traditional flip. While a flipped house is taxed at the investor’s tax bracket rate, the profit from a live-in flip is usually exempt from any taxes. The only stipulation is that the homeowner must have lived in the property for two of the last five years. That two-year mark is the sweet spot for investors who repeatedly use this investing strategy.
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Like the live-in flip approach, many investors will buy a property as their primary residence. And then, they will take advantage of lower interest rates and down payment requirements. Finally, they’ll move in shortly thereafter and begin renting it out. This is very common among investors that frequently move for their jobs.
As with any real estate investment, the numbers must make sense to use this approach on a house. Investors must compare the fair market rent of the house to their mortgage payment to see what their cash flow will be. They must also consider other expenses such as property management fees and maintenance.
If there is significant cash flow left over when using a conservative rent price and subtracting out these expenses and the mortgage payment, the property will likely be a great wealth-producing asset.
Fortunately for investors that use this investing model, their debt-to-income ratio is barely affected by the first house when they purchase a new one. Most lenders will credit 75% of the rental income toward their debt-to-income ratio. However, acquiring an FHA or VA loan again will likely be more challenging.
ablokhin / istockphoto
House hacking has become increasingly popular recently, especially for young investors looking to acquire their first investment property. Like the other “live-in” investment models, this approach allows investors to capitalize on lower interest rates and down payments by purchasing a property as their primary residence.
House hacking typically involves buying a multifamily property such as a four-plex, living in one of the units, and renting out the others. The rental income from the tenants will often pay the mortgage and provide monthly cash flow. That cash flow can be saved up to purchase another investment property.
Although this model is most commonly used on multifamily properties, it can also be applied to single-family homes. Instead of renting out separate units, the investor would rent the extra bedrooms to roommates.
One of the side benefits of house hacking is the ability to keep an eye on the condition of the property since it is the investor’s home. However, this could turn into a nuisance if the tenants are high maintenance.
vgajic
The goal of every investor is to maximize their cash-on-cash return. One way to do this is by maximizing the income from their investments. The other way is to minimize the amount of their own money they have invested in their deals by leveraging other people’s money. The latter is easily achieved by implementing creative financing strategies.
Many people believe they must have hundreds of thousands of dollars in the bank to be able to buy houses. But, that’s a fallacy. With a bit of creativity, many investors can purchase as many properties as they get their hands on. And, all that while using none to very little of their own capital.
Bojan89 / iStock
The BRRRR Method is one of the most popular ways investors stack rental properties. It uses the same principle that wealthy entrepreneurs use to force the appreciation of an asset via improvements. Then, investors leverage bank money against it based on its new value. Wealthy investors rarely sell an appreciated property because they would have to pay taxes on the gains.
Instead, they pull the equity out tax-free by refinancing it and use that money to buy more assets.
The “BRRRR” stands for Buy, Rehab, Rent, Refinance, Repeat.
Here is how the “BRRRR” method works:
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Locate a house that needs repairs but would make a good rental when fixed up
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Buy the home at a price to account for the cost of repairs
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Renovate the property to get it rent-ready
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Rent out the home for market rent
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Refinance the house based on the new value and replenish the capital used for purchase and repairs
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Use the newly restored capital to repeat the process on another property
In many cases, investors can pull all of their invested money out of the deal with the refinance loan. Even better, some are able to make some profit when the new loan amount exceeds their original investment. And the best part about this profit is that it is tax-free.
Even if an investor leaves some of their own money in the deal, most of their capital will be replenished by using this strategy. And they will be postured to quickly find another property to buy.
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Another lazy way to invest in real estate is by taking over the owner’s loan payment and balance instead of getting a new loan. This strategy is called buying a house subject to the existing financing. Moreover, it has allowed investors to generate insane amounts of cash flow without adding any loans to their credit.
On top of not having to use their own credit, investors using this strategy benefit from avoiding down payment requirements. The only down payment required is what is negotiated between the buyer and seller.
Another benefit of this strategy that may become very prevalent in the near future is investors’ ability to take advantage of homeowners’ interest rates. For example, say the current market interest rates are at 8%. But the seller’s loan is at a rate of 3%. The current monthly payment would be much lower than it would be on a new loan.
Investors often use this strategy when purchasing homes that are in pre-foreclosure, meaning the owner is behind on payments. Instead of coming up with the cash to buy the house or getting a new loan, the investor simply makes up the back payments on the loan. Then,they begin making regular monthly payments.
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What if the seller doesn’t have a loan on their house? No issues! Creative financing still works! In fact, this gives the seller the benefit of receiving interest payments just like a bank.
Instead of going to the bank to get a loan to purchase a house, lazy investors can create a new loan with the seller. This is called a seller carry-back. This loan has all of the terms of a regular loan. For example, it includes the principal amount, down payment, interest rate, and length.
It may sound strange that the seller is financing the purchase for the buyer. However, it is not like the seller has to produce the money to give to the buyer just for them to give it right back. Instead, a promissory note is created that documents the repayment of the purchase price in return for the property.
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Seller carrybacks typically take place when a home is free and clear. However, investors use wraparound mortgages when there is still a loan on the property. This process is very similar to the seller carry-back in that it has the same terms that must be defined. It is called a wraparound mortgage because it essentially “wraps around” the existing loan.
The typical wraparound mortgage should have terms that cause it to meet or exceed the balance and monthly payment of the original loan.
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With regards to business, John D. Rockefeller once stated, “Own nothing, but control everything.” That is the thought process behind many of the ways lazy investors execute real estate investing strategies.
Just by having a signed purchase agreement or even an option to purchase a house, an investor has equitable interest that gives them many different options. One of these options is selling that equitable interest for a fee.
It’s counterintuitive, but some of the wealthiest investors in the world have made money from assets without even owning them. These strategies exist in nearly every industry, including airplanes, stocks, and of course, real estate.
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The idea of using a master lease in real estate is fairly straightforward. It involves signing a lease with the owner of a property and then subletting it to tenants. In this scenario, the investor essentially acts as the middleman between the owner and renter. And then, the investor keeps the difference.
The key to this lazy real estate investing strategy is to find a property listed at below market rent. This way, the real estate investor can rent out the property at a higher price. Doing so achieves a positive monthly cash flow that makes the deal worth the effort. As a concession for lower monthly rent, many investors agree to cover maintenance expenses. Therefore, these costs must be budgeted for when analyzing a deal.
Many investors use this type of setup to acquire short-term rental properties. Instead of buying a bunch of houses, they lease them from homeowners. Then, they rent them out on Airbnb or similar platforms. The benefit to this lazy real estate investing strategy is that people can rent houses from homeowners at or near market rent because they can charge a premium when renting them to short-term guests.
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A sandwich lease combines a lease agreement with an option to purchase agreement. A typical lease option agreement defines the standard terms of the lease and the terms of buying the property in the future. Indeed, the sandwich lease is a very creative and valuable tool for lazy investors looking to earn money in real estate.
Investors can use the lease option to acquire properties. But the same investors can also use the option as an exit strategy. Many investors use them on both sides of the transaction and stay in the middle, giving the term “sandwich lease option.”
With a sandwich lease option, lazy real estate investors have three ways to profit. The first is on the option fee that is collected upfront. With most lease option agreements, an option fee is required to buy the option to purchase the house at a later date. Then, it is credited toward the purchase price. Most investors try to collect a higher fee from the tenant-buyers than they are paying the seller.
The next way to profit is from the difference in rent price. As a result, most investors try to negotiate a rent price with the seller that is slightly below market rent. The last profit center with sandwich lease options is the difference in the purchase price. Because the tenant-buyers are buying the house with terms, it is sometimes possible to slightly raise their purchase price, especially in an appreciating market.
Pravinrus Khumpangtip / iStock
Wholesaling is another lazy way to invest in real estate. In fact, it’s a strategy that many investors use to start. The process first involves locating distressed properties. Then, it’s essential to get them under contract to buy at discounted prices. And finally, assign the contracts to other investors for a fee.
A key benefit of wholesaling real estate is that it does not require any money or credit to start. Indeed, the wholesaler plays the middleman between the seller and the end buyer. As a result, they don’t have to use their own money to fund the deal. They simply assign their rights to buy the property prior to closing.
The most crucial skill to succeed in wholesaling is the ability to consistently locate distressed properties. And those properties must have owners who are motivated to sell. For this lazy real estate investing strategy, negotiation skills are an absolute must. Indeed, the deals must be good enough for a landlord or flipper to want to buy them and pay the assignment fee to the wholesaler.
While many wholesalers are new investors, it helps to have experience with real estate deals and home renovations. This is because a wholesaler must determine how much a house is worth. And then, come up with an estimated rehab budget to set an appropriate purchase price.
With this lazy way to invest in real estate, investors can score an assignment fee between
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There are definitely more ways to sell real estate than listing it on the MLS with an agent. Not that that’s a bad idea for a flip house, but sometimes other strategies can be more profitable.
Lazy investors can use some of the creative financing strategies above as an exit strategy. For example, many lazy real estate investors prefer to sell homes using owner financing or a lease option.
Investors that have multiple options for exit strategies tend to profit the most on each deal.
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Although we mentioned lease options earlier when suggesting the sandwich lease option, that is not the only way to structure these deals. Many investors prefer to use lease options as an exit strategy on houses they already own.
One of the primary benefits of using a lease option versus a standard rental is that tenant-buyers typically take much better care of the house than renters. This is because they plan to buy the home and already see it as their own.
Also, most lease option agreements require the tenant-buyers to be responsible for minor maintenance issues. This way, the landlord doesn’t have to worry about a leaky toilet or dripping faucet. Because of this, it is usually not necessary to hire a property manager. This saves an average of 10% of the monthly rent.
The average option fee on a lease option is 3-5% of the purchase price. This fee is non-refundable and gets credited toward the purchase price when the tenant-buyer chooses to buy the property. Because the tenant-buyer has made this investment up front, they are much more likely to respect the terms of the lease. Also, this option fee gives the investor much more margin than a standard security deposit if they have to file an eviction and make repairs.
DepositPhotos.com
Instead of requiring a buyer to go to the bank to get a loan, some chose the lazy way to invest in real estate by “being the bank.” This method involves offering owner financing when selling a house. This way, the investor makes money off interest payments instead of a lender.
Owner financing allows an investor to make much more money over time than what they would receive from an outright sale of the property. After all, a borrower on a 30-year mortgage typically spends two to three times the price of the house while paying back the loan because of interest.
Many investors use this strategy on houses that need repairs. Instead of purchasing the home, fixing it up, and selling it on the MLS, they will offer owner financing to someone willing to buy it and renovate it themselves. This allows many people that can’t qualify for a traditional loan to own a property.
SARINYAPINNGAM / istockphoto
Some investors prefer a more passive approach to investing. While active investing strategies such as flipping and wholesaling can provide much better returns, passive strategies are generally much more stable.
No investing strategy is 100% passive. Even these “passive” strategies require due diligence and research. However, they are more of a “set it and forget it” approach to investing than constantly marketing for deals and physically renovating houses.
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Real estate crowdfunding is a hot and relatively new investing strategy made possible by online platforms such as Fundrise and RealtyMogul. These platforms allow investors to fund projects they could never accomplish independently due to skill or financial limitations. This gets done by pooling investors’ capital to fund commercial and residential real estate projects.
Because the money is pooled together and used to fund real estate projects, crowdfunding investors don’t need any experience renovating properties or managing rentals. However, it is important to have experience with deal analysis since prospective lending opportunities must be evaluated for risks and rewards.
Each crowdfunding platform offers different features and requirements. For example, many require lenders to be accredited investors. Accredited investors have an annual income of over $200,000 or a net worth of at least $1 million. However, some platforms allow nonaccredited investors to contribute.
Some crowdfunding platforms allow investors to start with as little as a few thousand dollars. And that’s significantly less than the amount they would have to put down to buy a property themselves!
AlexLMX/istock
REITs, or Real Estate Investment Trusts, are large organizations that purchase real estate assets such as retail and office buildings with the intent to rent them out. Since most REITs are publicly traded, investors can buy stocks in them just like any other business.
Most REIT investors choose this option to diversify their investment portfolio since the real estate market is not directly tied to other markets and often “zigs” when they “zag.”
Unlike many other stocks, REITs usually pay dividends to shareholders because they must distribute 90% of their annual income to avoid corporate income taxes. Therefore, REIT investors enjoy the regular income and capital appreciation of the company they invest in.
REITs are likely the most passive form of real estate investing available. While crowdfunding is more of a private investment vehicle, most REITs are public companies managed by professional real estate developers.
As with any other stocks, REITs are generally very liquid. On the contrary, crowdfunding investments are usually longer-term.
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While crowdfunding and REITs involve investing with a large company, many investors choose to lend to smaller private companies such as a local house flipper. Instead of using a third-party platform to put them together with a borrower, they develop relationships with investors themselves and fund their deals.
Because the loans that private lenders make are on more of a personal level, the terms can be adjusted based on the agreement between them and the borrower. This flexibility can provide better returns, meet individual needs, and ultimately allow more deals to be accomplished.
The best way for investors to find private lending opportunities is to network with local house flippers and landlords. After spending some time in that arena, the key players will stand out. These are the best people to lend to because they generally have their processes down and are less likely to make big mistakes than newer investors.
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Owning a rental property should never be considered a lazy way to invest in real estate. In fact, many landlords are some of the busiest people in the world. In reality, it all depends on the house and the tenants. Some rentals go for several months without any issues, but some have maintenance problems every month.
While personally managing rental properties will require more work than nearly any other investment method, hiring a property manager will make it significantly easier. Property managers will advertise the property, screen tenants, collect payments, and respond to maintenance requests.
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Owning rental property is a tried-and-true way to build significant wealth in real estate. Not only do rental properties produce monthly cash flow, but they gain equity over time from loan principal pay-down and appreciation.
However, no investor looking for a lazy way to invest in real estate should try to self-manage a portfolio of rentals. Many have tried and become overwhelmed with the stress it involves.
Any investor looking to build a portfolio of rental properties should find a good property manager to work with. Ask any experienced landlord, and they will say that it is worth it to pay one to manage everything.
Most property managers charge 10% of the monthly rent for their services. It may be enticing to shave that expense off to make a deal work or to make a little extra cash flow each month, but just know that the added stress likely won’t justify the savings.
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Short-term rentals have recently become extremely popular among real estate investors because they give an alternative to the traditional year-long lease and produce significantly higher monthly income. In many cases, a house will rent as a short-term rental for two to three times more per month than it would as a standard rental.
The most popular platform for advertising and managing short-term rentals is Airbnb. However, some investors specialize in corporate housing and rent-to-work travelers.
While it is possible to stumble through self-managing a year-long lease, it is nearly impossible to do that on a short-term rental. There are so many moving parts that it can sometimes feel like a full-time job. Managing bookings, scheduling cleanings, and communicating with guests are just a few of the routine tasks required of short-term rental hosts.
Not just any property manager can manage a short-term rental, but there are some in most markets that will handle the day-to-day tasks. Because this job requires much more effort than a traditional rental, some property managers charge up to 20% of the rental income. While this sounds like a lot of money, the premium short-term guests are willing to pay often justifies paying this higher fee for management.
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While truly lazy people never succeed in real estate investing, there are certainly ways to work smarter instead of harder. Everyone has different strengths and weaknesses, and there are various strategies to complement nearly every skill and resource set. The key is to choose one or two and start taking action. So, get out there and start investing in real estate the lazy way!
This article originally appeared RickOrford.comand was syndicated by MediaFeed.org.
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