What is Syndicating Real Estate?
Syndicating real estate is an effective way for many investors to invest in real estate.
Most syndications are structured as a limited partnership or a limited liability company.
The income generated by the entity is not taxed and flows directly to the investor’s returns.
If you’re looking for a passive income stream, real estate syndication may be the best option for you.
In a real estate syndicated deal, the developer creates a legal entity to manage the project.
The risk involved is limited to the amount of capital that the investor contributes.
Investing in a rental investment is tax-free, and the investor can earn a higher sale price than on a single-family home.
It is important to read the contract before signing any agreements.