Real estate investing is often a time-consuming and hands-on process. If you invest in real estate to rent out to tenants, you often take on the role of the property manager. While long-distance real estate investing is typically more hands-off because you outsource the work, it still requires financial investment to pay the property management team and maintain the property. Another disadvantage is that if the property sits vacant for any period of time, you could lose a significant amount of money.