Think you’re too young to invest in real estate? Think again. With the right tools, support, and a few creative strategies, teens can start building wealth early—without violating any laws. This guide is for teens (and their parents) who want to get started in real estate the smart way.
🔑 Key Points to Cover:
1. Why Start Young?
- Compound growth over time
- Learning money management early
- Standing out on college and job applications
2. Legal Limitations for Under-18s
- Cannot sign contracts or open investment accounts alone
- Must involve a parent or legal guardian for any legal transactions
3. Creative Entry Points for Teen Investors
| Strategy | How It Works | Teen’s Role | Adult’s Role |
|---|---|---|---|
| Custodial REIT Account | Parent opens a custodial account for the teen | Chooses the REITs, learns tracking | Legally owns account |
| Partner with Parents on Rental Property | Joint investment between teen and parent | Helps manage, learn bookkeeping | Makes legal decisions |
| House Hacking as a Family | Teen lives in a unit of a duplex/triplex with family | Helps with management tasks | Family owns property |
| Virtual Real Estate | Minecraft server ‘land’ rentals or Roblox virtual mall ownership | Playing the game and managing the virtual property. | Provides support/guidance |
| Wholesaling (w/ Guardian) | Flipping contracts for a finder’s fee | Learns negotiation, builds list | Parent signs contracts |
| Crowdfunded Real Estate | These platform pool funds as low as $10 from multiple investors to finance real estate projects. | Choose a crowdfunding platform based on goals. | Join platform and handle finances, |
🧠 Pro Tip Box:
“Some states allow teens to open Roth IRAs with earned income—ask your parents to help you use it to invest in REITs tax-free.”
🧑💻 Interactive Simulator: Build Your $5,000 Portfolio
Start with $5,000:
$2000
$1500
