With the rise of popularity in television shows such as A&E’s Flip This House and HGTV’s Flip or Flop, paired with the recovery of the housing market, the business of real estate has never been more active or glamorized until now.
Real Estate Entrepreneurs stand to profit nicely from this growth, but they are not the only ones. Many flippers rely on fix and flip loans to fund renovations. Investing in those loans can potentially give you annual returns of 12-14 % or higher.
Even with the success stories captured on screen, fix and flips are more difficult to pull off than they seem. The first issue is the money needed to purchase the house. The second issue is the money needed for renovations and closing costs (after the house is sold). At the end of the day, fixing and flipping houses takes a lot of time and money. Given all these costs, raising capital even for seasoned Real Estate Entrepreneurs can be quite tough, and that's how where crowdfunding steps in to help aid their investments.
Read the full article on Forbes and see how to invest and borrow on different types of crowdfunding platforms for various types of real estate needs.
