There are people that have thought about investing in real estate but never really did anything with the notion. It’s hard not to think about buying and selling real estate with all the chatter about interest rates, foreclosures and home values, but active or passive real estate investing with otherssome sit on the sidelines and never make a move because they don’t have the financial wherewithal to make a flip happen.

Or don’t think they do. Many distressed properties are vacant and need considerable work before the property can be eligible for a home loan. Sure, there are always cash buyers but they’re in the minority.

However, those same individuals who think they can’t participate in the real estate investment business are thinking about it the wrong way; there’s no reason to fly solo.

An investor doesn’t have to be the only individual with skin in the game. In fact, most involve more than one investor for the very reason that one person may not have enough cash to make the deal happen. For example, there’s a property on the market for $200,000 and needs about $50,000 for repairs. Once repaired, the property will be worth $325,000.

Instead of writing a check for $250,000, get four or five like-minded individuals to share the costs with you with everyone taking a piece of the profit. In this scenario, if five individuals put up $50,000 each, then there will be $75,000 in profit to be split up five ways, or $15,000 each.

The individual profits for each investor can be negotiated based upon the level of participation of the investor. Some investors who simply want to provide the cash without doing any of the work might accept less than $15,000 compared to the individuals who do the majority of the work by finding, repairing and marketing the property. In real estate investing, there’s always room for more. If you’ve decided that investing in real estate is out of your league, you’re wrong.