If you have $50,000 saved, good news—there are several investment opportunities that can provide you with real, passive income. But what’s the best way to invest $50,000 or more? In this article, we’ll explore the top options, from high-appreciating turnkey rentals to private money loans that give you fast returns.
Summary:
There are many ways for you to deploy $50,000 and start building wealth. Not only can you delve into traditional investments like stocks and ETFs, but you can also buy leveraged real estate and other alternative assets with higher potential returns.
Start investing in turnkey rentals with $50,000 (or less)!
Before investing $50,000, you’ll need to determine your timeline and narrow down your investing goals. Do you need passive income today, a reliable income stream in retirement, or a long-term investment that grows your net worth? Knowing exactly what you want to achieve will help you identify the best investment(s) for your situation.
Ready to make your $50,000 work harder for you? Here are four of the best ways to invest it!
Turnkey rentals are recently built or renovated properties that can deliver both monthly cash flow and long-term appreciation. What’s more, because these properties require very little maintenance and are professionally managed for you, their income is more passive than that of most other real estate investments!
Minimum Investment: $0 - $25,000
Most investment property down payments are 15%-25% of the purchase price, but with Rent to Retirement’s 5%-down loan (which, combined with incentives, can be as little as $0 down), you could have more than enough for closing costs, reserves, or other investments. You could even buy multiple rental properties with the same money!
Turnkey real estate might be the best investment for $50,000 or less, as it can provide all of the following benefits:
Despite the many benefits, turnkey rentals aren’t the perfect fit for everyone. Here are a pair of potential disadvantages:
Turnkey rentals offer a little of everything. Many investors achieve a 10% cash-on-cash return, build long-term wealth through appreciation, and use tax benefits to offset their passive income—all while tenants pay down their mortgage!
Private money lending is the process of loaning your money, often to a real estate investor, on a short-term basis. Like with other loans, you receive monthly payments until you recoup your entire investment—usually across 6-12 months. Because these loans provide investors with flexible financing, they often pay higher interest than traditional mortgages.
Minimum Investment: $25,000
The amount of your investment will depend on how much the borrower requires. Generally, you’ll need a sizable amount of money to make the loan worthwhile to the investor—enough to cover a down payment, renovation costs, the property’s purchase price, or all of the above.
Private money is a great option for investors who are looking for the following:
Before loaning your money to another investor, consider the drawbacks:
Invest in your long-term financial freedom in expert-selected markets with turnkey rentals!
Private money loans provide high but short-term returns, usually 10%-14% interest (annualized) across a 6-12 month term. Just keep in mind that you won’t get any appreciation or tax benefits!
A real estate note is an existing mortgage you purchase from another lender (rather than an actual property), effectively making you the new lender to the borrower. Since it’s a secured loan, the property can become collateral if the borrower falls behind on payments and defaults on the loan.
Minimum Investment: $10,000 - $50,000
Here are a few reasons why you might invest in real estate notes:
Real estate note investing isn’t for everyone, so carefully weigh the risks beforehand:
Real estate notes often deliver 6%-12% returns, but you don’t enjoy any of the tax benefits or appreciation of direct ownership.
Don’t quite have $50K to invest? We wrote an entire guide on how to invest $10K in real estate!
REITs are companies that buy, own, and manage investment properties. You can buy shares of these companies, similar to stocks, and they are legally required to distribute 90% or more of their income as dividends to investors. What’s more, if the company appreciates, your investment value grows!
Minimum Investment: $5 - $500+
REITs are some of the best investments for $50,000 or less, as they provide the following:
REITs offer many benefits to investors, but there are a few drawbacks to consider:
REITs can provide regular income (through dividends), appreciation, or both. Just keep in mind that you don’t get the benefits of ownership—like direct tax benefits or loan paydown from tenants!
There are multiple ways to create passive income with $50,000, and you can even combine the above investments to design the perfect portfolio for your financial goals. For example, you could buy a turnkey rental for next to nothing out of pocket with Rent to Retirement’s 5%-down loan. Then, keep $25,000 as reserves and invest the rest in fully passive notes—giving you cash flow, equity, appreciation, AND tax benefits—or double down and buy two turnkey rentals.
No matter your decision, ensure you research all options, carefully weigh the risks, and make an educated decision. There’s no rush, and our team is happy to help find your next investment when you’re ready!
There are several investment options in this range, depending on your short-term and long-term investing goals. Turnkey rentals are some of the best investments for $50,000, as they can provide both immediate cash flow and future appreciation.
A certificate of deposit (CD) can generate “safe” but modest income. While riskier than CDs, real estate has been less volatile than stocks, historically, and a turnkey rental property can deliver consistent monthly cash flow. Plus, tenants pay down your loan, and your property could appreciate over time!
If you’re looking for “safe” ways to earn interest, parking your money in a high-yield savings account (HYSA) or certificate of deposit (CD) will give you returns of roughly 4%-5% (as of 2025). However, if you’re comfortable with more risk, you could earn much higher interest with private money lending or real estate note investing!