It feels like owning a mix of apartments and dividend-paying stocks, but tied to something essential: energy.Curious—has anyone here added royalties (or other “alternative” passive income streams) to your portfolio alongside real estate?

It's like waking up one day and deciding "Gee, I think I'll invest in the stock market today."  

There are several different types of income in the US tax code.Two main types are “active income” and “passive income".Active income is money you earn from working, such as wages from a W-2 job or income from running a business.Passive income is money you earn from investments like real estate, stocks, or rental income from your RE portfolio where you earn $ without actively working.Normally, you can't use passive losses (like losses from real estate investments) to offset active income like your salary from a W-2 job.That is unless you are an RE Pro.The reality is, that Real Estate Pro status is just a filing status similar to filing married or jointly.And if you are a real estate professional you CAN use passive real estate losses to offset active income from other sources.To qualify as an RE Pro you must:1.

Seems like people liquidate stocks and buy RE instead.

If the stock market dips 20-30%, your townhome will likely help stabilize your portfolio. 

I'm carrying a low interest mortgage into retirement and will keep a fairly high percent, for someone my age, in total stock market index funds in an effort to have true passive income and likely a reasonable return that ideally will offset inflation.  

I am based in Indianapolis, Indiana and focus on project management for rehab projects, so I work with a lot of investors who pursue BRRRR strategies.Indiana is a landlord-friendly state with affordable housing stock and solid rental demand.

The housing stock is old (1920-1960s), charming, and relatively good size, but they require lifting if you're chasing top market rent.

Housing is at all time highs, rents are at all time highs, college is at all time highs, groceries, entertainment, stock market, cryptocurrency, gold, silver etc, etc you get the point. 

Here’s a quick breakdown from what I’ve seen in the field:New construction can absolutely work as a “fix & flip,” but it’s a different animal than rehabbing existing stock.