: A preferred return is the minimum return passive investors receive before a syndicator earns any share of the profits , and it is one of the most important investor protection mechanisms in any real estate syndication deal. Here is exactly how it works and what to look for when evaluating one.

REITs and real estate syndications both let you invest in real estate without managing property, but the differences in tax treatment, control, return potential, and ownership structure are significant. Here is a direct comparison of the seven most important distinctions.

Real estate syndications give accredited investors access to institutional-quality apartment communities that generate quarterly cash distributions and long-term equity growth , without ever managing a property. Here is exactly how the passive income works and what to look for before you invest.