What returns do you target on your real estate investments

[Don Konipol]

I was wondering what BiggerPocket members target as annual returns on various categories of real estate investment. I am not talking about returns in your real estate business, such as wholesaling or flip and fix, as these are too hard to separate the investment aspect from the business aspect. I am talking about more passive real estate investing.

I'll start. On my investing in private loans, I target 18% annual. On my buy and hold I target minimum of 10% on high quality property (7% cash flow + 3% appreciation). On my lower quality buy and hold I target 15% . On my speculative investing on want a minimum of 20%. Obviously, I have had investments which ended up exceeding these returns; I have also had investments which lost money, but these are my minimally acceptable anticipated returns on my personal investments. I also invest for other people, most of which have lower targeted returns.

How about you? What are your targets annual returns? And do you think it possible to be a successful investor without having a targeted rate of return?