I have wanted to buy a duplex in my home market for years, but have never found the right opportunity, recently I've turned to passive investing in a fund that provides great diversification and cashflow. 

For money that I am not going to touch for a long time I invest in a select group of companies from different industries for diversification.

@Roshan Jameel, this would be called a diversification 1031 exchange. 

Real Estate is a limited commodity that has a proven track record of lucrative returns, the offer of diversification, and resilience to economic recessions, especially cash flowing properties.

Also geographical diversification is a plus for me.

Population growth, job growth, income growth, job diversification and rent growth are all good baseline metrics to help filter out target markets.

Diversification and leverage are key to me, so I'm doing just that.

😉 Even with no tax benefits for those with W2, I invest in real estate simply for the sake of diversification.

@Di Lyu, Folks will do diversification exchanges like your contemplating every day. 

I see that as a major risk by eliminating the diversification of my tenants while sacrificing the security of a longer lease.