Passive investing simply means to invest money in a real estate deal; while not being involved in any way in the management or operation of the property. Instead, you are paying others to manage things for you.
If you purchase a single-family home, as a rental property, and you are the person who collects the rent from tenants or calls in repair people, then you are not a passive investor. Most passive investors invest their money with syndicators, funds or REITs and let professional companies manage the assets from start to finish.
Utilizing Blockchain technology anyone can become a Passive Real Estate Investor simply by purchasing ETHi token. We’ve taken the hassle out of investing in Real Estate and have minimized the risks involved. We provide an incentive to tenants to build equity, simply by paying their rent on time, and have shifted the day to day maintenance and repair by using what is referred to as a Triple Net Lease (NNN).
A triple net lease (triple-net or NNN) is a lease agreement on a property whereby the tenant or lessee promises to pay all the expenses of the property, including real estate taxes, building insurance, and maintenance. These expenses are in addition to the cost of rent and utilities. In contrast, in standard commercial lease agreements, some or all of these payments are typically the responsibility of the landlord.