Direct real estate investing is rarely hands-off. You need capital for a down payment, closing costs, inspections and renovations. You need to market the property, screen tenants, write leases, collect rent, respond to maintenance issues and deal with late payments.
You may also need to hire contractors, handle unexpected repairs, replace appliances, manage vacancies and keep track of insurance, property taxes and utilities. Even small issues such as plumbing backups or a broken furnace can turn into costly emergencies that require immediate attention.
