Approximately 39% of surveyed advisors currently offer investment real estate advice, while 35% have done so in the past but no longer do. The remaining 26% have never provided such advice. Among those currently advising on investment properties, 62% see it as a key differentiator in their practice. Of those not currently advising, 31% believe it could help set them apart.

Regulatory restrictions (41%), increased liability (38%), and limited market understanding (35%) are the main obstacles. Operational issues, such as lacking investment processes or integrated planning tools, were also cited. Diversification (68%) and current income (63%) are top reasons for including investment property recommendations in client financial plans. Portfolio advice (66%) is the most common form of counsel, followed by market analysis (45%) and financing (40%).

For high-net-worth investors, publicly-traded REITs (63%) are the most sought-after investment, followed by multi-tenant commercial and multi-family assets (42%). Critical factors for accredited investors in commercial real estate include portfolio diversification (66%), asset value growth (64%), and tax advantages (62%). Multi-family housing and single-family rentals are the preferred property types for accredited investors.