A real estate partnership may be a great way to get started if you’ve been thinking about investing in real estate. A real estate partnership is a limited joint venture that invests primarily in real estate. The investors work together to manage and support their joint venture. A real estate partnership offers many benefits, but it is not for everyone.
It is an investment strategy that combines the strengths of two or more investors into a single investment property. Partnerships can be active, where all partners share equal responsibility for day-to-day operations, or passive. Passive partnerships are typically used to raise capital from investors who are less involved.
A real estate partnership is one of the most common pass-through entities. A good business partner will complement your shortcomings and fill in the gaps your business has currently. Having a real estate partnership will give you the opportunity to integrate your connections with your partners.