Index funds can't touch the wealth drivers in real estate.  

A REIT is a publicly traded vehicle and usually only makes sense if you have billions of dollars under management. 

CaseyHey Casey, I think what you outlined is a good option.Does your mom want to keep it out of sentimentality, or is she truly trying to use this home as an investment vehicle?

I keep saying I am a cashflow guy but the appreciation has been what I have seen is the powerful driver of in creating wealth. 

Understanding local laws is very important.Upgrades which help drive rents depend very heavily on the property's current condition, location, and rental rate.

Accounting software, property management fees that are not property specific, vehicles (not there yet but... one day), computer, and office supplies. 

I have a vehicle worth $10k and maybe can get a gift of $10k for down payment.

Started as extra income for me and then ended up being able to leave my job as a truck driver because of it.

You will need to provide someone with a work vehicle, pay for the insurance, gas and maintenance and then you will need to constantly worry about being sued for overtime pay, sexual harassment, retaliation, age or race discrimination and a thousand other possible issues that could result in a civil lawsuit against you, personally.

It will depend on the individual investor as to whether they are looking to get their money (plus) back quickly, or are looking for some type of monthly income via an interest vehicle above market.....You will have to feel them out one by one.