Real estate investing FAQ
Real estate investing FAQ is covered here as a sourced, educational reference: what it means, how the numbers work, what it costs, and what to verify with primary sources before acting. Educational only — not financial, legal or tax advice. Consult a qualified professional for advice about your situation.
Disclaimer: Educational only — not financial, legal or tax advice. Consult a qualified professional for advice about your situation.
What is real estate investing?
Buying property (or property-backed securities such as REITs) for rent, resale, or both. This wiki covers strategies, financing, analysis, taxes, management and exits — educationally, with primary-source citations.
What is a cap rate?
NOI divided by value. See the cap rate page for the formula, what it excludes (financing), and why comparing cap rates across markets misleads.
What is a 1031 exchange?
A like-kind exchange under IRC Section 1031. The IRS requires identification within 45 days and completion within 180 days; a qualified intermediary is normally required. See the 1031 pages.
Do I need an LLC for a rental property?
Not legally required everywhere; it is a liability and tax decision to make with an attorney and CPA. See the LLC page.
Is this site financial advice?
No. Educational only — not financial, legal or tax advice.