Cross-section topics

passive income

Everything we've published on passive income 3 articles.

What to know

  • Secondary cities like Raleigh and Columbus offer attractive cap rates (5.5%+) compared to lower yields in primary coastal markets.
  • Corporate relocations and semiconductor manufacturing are the primary drivers of residential demand in the 2026 market.
  • A demographic shift toward the 'Silicon Slopes' and 'Silicon Heartland' is creating a sustained supply-demand imbalance.
  • Investors should focus on '18-hour' urban centers that combine high lifestyle scores with business-friendly tax environments.
  • Tokenized real estate offers 8-12% APY, providing a stable income buffer against crypto market volatility.
  • RealT and Lofty have emerged as leaders in residential fractionalization, while HoneyBricks dominates commercial assets.

Questions readers ask

What defines a secondary city for real estate investment?
A secondary city is a medium-sized metropolitan area—typically with a population between 1 and 3 million—that experiences high job and population growth but offers more affordable real estate than 'Tier 1' hubs like New York or London.
Why is Raleigh, NC consistently ranked high for investors?
Raleigh benefit from the 'Research Triangle' effect, where top-tier universities feed a steady supply of high-earning talent into local tech and biotech firms, ensuring low vacancy rates for rental properties.
Are secondary markets risky if the economy slows down?
While all markets face risks, the 7 cities listed have diversified economies (tech, healthcare, and education) that historically show more resilience than markets dependent on a single industry like finance or tourism.
Can international investors buy US tokenized real estate?
Yes, many platforms like RealT use legal structures (like LLCs) that allow non-US investors to participate, though specific KYC/AML regulations apply based on your residency.
What happens if the tokenization platform goes bankrupt?
Most reputable funds hold properties in independent Special Purpose Vehicles (SPVs), meaning the legal ownership of the property remains with the token holders even if the platform ceases operations.
How is the property value determined for these tokens?
Professional third-party appraisers value the properties annually or semi-annually, and these values are updated on-chain via decentralized oracles to reflect the current Net Asset Value (NAV).
What is the best country for tax-free passive income in 2027?
The UAE remains the leader for absolute tax neutrality, while Cyprus offers the best balance for Europeans with 0% tax on dividends for non-domiciled residents.
How does territorial taxation work for HNWIs?
Territorial taxation ensures you are only taxed on income earned within a specific country's borders, allowing foreign passive income to remain tax-free if managed correctly.

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