Over the last few years I’ve had the good fortune to learn and work with some of the most knowledgeable Real Estate investors and Investment firms in Canada.  Having had the opportunity to speak and lecture to thousands of people in various audiences, one thing remains the same. Without fail at every lecture someone will stick around and ask me a similar ( but very important ) question. They want to know if they should do their own deal or invest with someone else.

It’s an important question and needs to be addressed.

Real Estate has created more millionaires than any other investment in the world ( Andrew Carnegie ) so to ignore such “tried and true” advice in my opinion would be foolish.

Lots of people however write off real estate because they think they have to deal with “tenants & toilets”. There are many ways to benefit from real estate without all the hassles and time obligations, it just depends on how involved you would like to be.

The Difference between Active & Passive Real Estate Investing

Active Investor 

• Strong understanding of Real Estate 
• Developed a team to develop/service assets 
• Leverage experience & track record to attract others to invest alongside
• This is their profession

Passive Investor

• Also Known as “armchair investor ( Benefit from someone else’s Knowledge & Experience )
• No active involvement in asset ( Plug into someone else’s Team & Track Record)
• No time commitment (What is your time worth?)

Although I am not a financial advisor I believe most would agree that everyone needs to have some real estate in their portfolios ( outside of their personal residence ) and it’s a matter of determining where you are in life to see if being active or passive is a better fit. To help get the wheels turning, click here for a 5 minute crash course in Active Vs Passive Real Estate Investing.

As always, all feedback and comments are welcome also.