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What is the difference between investing in equity versus debt?
What is the difference between investing in equity versus debt?
Korin Hedlund avatar
Written by Korin Hedlund
Updated over 9 months ago

There are two ways to invest in real estate—equity and debt.

Equity investing is when investors own the underlying real estate, and debt investing is when the underlying investment is a loan secured by a property.

There are pros and cons to each investment structure. For more details, check out Real Estate Debt vs. Equity Investments Comparison Deep Dive.

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