Rental Property
Also called: buy to let, investment property, income property
A rental property is real estate held to produce income rather than to live in. Its return has four parts: rent, appreciation, principal paydown by the tenant, and tax benefits from depreciation. It's frequently marketed as passive and isn't — it's a small business with tenants, maintenance and regulation, which is precisely what a management fee of 8–12% of rent is buying when you outsource it.