Glossary
Real Estate Investment Group
A real estate investment group (REIG) is an organization where multiple investors pool their money to invest in real estate properties, such as residential rentals, commercial buildings, or development projects. Members benefit from shared ownership, passive income, and professional property management.
How does a real estate investment group work?
Members contribute funds to buy or manage real estate properties. The group—often structured as an LLC—handles operations, and profits are shared based on ownership percentages.
What’s the difference between a REIG and a REIT?
A REIG is a private group of individual investors, while a REIT (Real Estate Investment Trust) is a publicly traded company that owns income-producing real estate and pays dividends.
Is joining a REIG passive or hands-on?
Most REIGs offer a passive experience, as management is typically handled by a professional team, although some may involve more active participation.
What are the risks of joining a real estate investment group?
Risks include market downturns, mismanagement, illiquidity, and legal complexity. Due diligence and a clear operating agreement are essential.
Who can join a real estate investment group?
Some REIGs are open to all investors, while others may require accreditation or a minimum investment amount.
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