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Engaging the Next Generation in Real Estate Investing

The tradition of investing in income-producing real estate is a meaningful practice that has been handed down through generations. It reinforces not only the stability and potential growth opportunities of commercial real estate but also the continuation of family legacies and the achievement of financial independence.


Transferring knowledge and strategies of real estate investing from one generation to the next is more than a tradition; it's a vital step in ensuring financial prosperity and security across ages. This transfer, though, comes with its own set of unique challenges and opportunities, especially when it involves engaging younger investors. Their engagement requires an understanding and alignment with their distinct values and an acknowledgment of the financial hurdles they face today.

Learn by Doing

One of the best ways of getting one’s children interested in learning more about real estate investing is to have them begin to take on increasingly greater responsibilities of managing your rental properties. Some of our clients start by having their teenage children first learn and then begin completing some of the more mundane financial management tasks such as keeping track of monthly rent collections, and recording and reconciling property expenses such as taxes, repairs, insurance, etc. 

Once this has been mastered, learning how to complete and file a rental property tax return would be a logical next step. Learning how to communicate with tenants both verbally and in writing is also on the agenda. Other topics such as assisting to evaluate new rental property investments can be added as appropriate. 

As an incentive, parents may provide a reasonable fee for the services provided and possibly a bonus when the property is sold, or a new tenant is found. 

Mentorship and Education

Encouraging seasoned investors and advisors to share their knowledge is crucial in demystifying real estate investing for the younger generation. Educational resources, such as my recent book, “Real Estate Tax Deferral Strategies Utilizing the Delaware Statutory Trust (DST)," offer a gateway to understanding. Introducing accessible investment opportunities like Delaware Statutory Trust (DST) investments can lower barriers to entry, making real estate investment a viable option for many.

DST Options

DST investment options are available for cash investments as low as $25,000. Investors in DSTs must be accredited e.g., have a minimum net worth of at least $1M (excluding the equity in their personal residence) or have an annual income of at least $200,000 if single or $300,000 if married.  Since younger children are not likely to qualify as direct investors, accredited parents can invest in a DST on their behalf and assign children various investment management responsibilities. DST investment properties can provide further exposure to institutional grade properties and various asset classes and property locations that can further nurture the overall educational process.  

Managing DST investments which are inherently more passive in nature (no toilets, tenants, or trash), can also appeal to younger folks who lack the interest or desire to learn and develop active property management skills. 

Communicating Effectively with Younger Investors

Engaging the next generation demands clear, straightforward communication, free from industry jargon, reflecting their preference for authenticity and relatability. Embracing digital platforms e.g., YouTube, social media, etc. for education and interaction mirrors their everyday habits and preferences, making complex investment concepts more accessible and engaging. 


Real estate investors who have children who are willing and capable of taking on the management of the family’s real estate portfolio over time are fortunate indeed. The transfer of management responsibility, however, is rarely automatic and needs to be nurtured by creating appropriate incentives and support to minimize the distractions that today’s young people encounter. 

Finally, think back to how you first got interested in real estate investing and the lessons you learned along the way. What worked well and what mistakes do you wish you could have avoided?

The first step in getting your children interested in real estate lies with you. Begin by sharing your own interest in real estate with children at an early age and see how they react. When appropriate, give them simple tasks to complete build from there. 

Good luck!

Please contact FGG10131 | First Guardian Group for more information.  You can also schedule a call directly with Paul Getty here

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Paul Getty

Paul Getty is a licensed real estate broker in the state of California and Texas and has been directly involved in commercial transactions totaling over $3 billion on assets throughout the United States. His experience spans all major asset classes including retail, office, multifamily, and student, and senior housing. Paul’s transaction experience includes buy and sell side representation, sourcing and structuring of debt and equity, workouts, and asset and property management. He has worked closely with nationally prominent real estate brokerage and investment organizations including Marcus Millichap, CB Richard Ellis, JP Morgan, and Morgan Stanley among others on the firm’s numerous transactions. Paul also maintains a broad network of active buyers and sellers of commercial real estate including lenders, institutions, family office managers, and high net worth individuals. Prior to founding First Guardian Group/FGG1031, Paul was a founder and CEO of Venture Navigation, a boutique investment banking firm specializing in structuring equity investments made by institutions and high net worth individuals. He possesses over 35 years of comprehensive worldwide business management experience in environments ranging from early phase start-ups to multi-billion-dollar corporations. His track record includes participation in IPOs and successful M&A activity that has resulted in investor returns of over $700M. Paul holds an MBA in Finance from the University of Michigan, graduating with honors, and a Bachelor’s Degree in Chemistry from Wayne State University. Paul Getty holds Series 22, 62, and 63 securities licenses and is a registered financial representative with LightPath Capital Inc, member FINRA /SIPC. Paul is a noted speaker, author, and actively lectures on investments, sales, and management related topics. He is author of The 12 Magic Slides, Regulation A+: How the JOBS Act Creates Opportunities for Entrepreneurs and Investors, and Tax Deferral Strategies Utilizing the Delaware Statutory Trust (DST), available on Amazon and other retail outlets.

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