4 Reasons Why Multifamily Properties are a Great Investment
Learn why multifamily properties have the edge over single-family homes when it comes to investing in real estate
Thinking of investing in real estate, or looking for your next real estate investment opportunity? Look no further than a multifamily property. Despite the usually larger cost, the return on investment is far greater than that of a single-family home. Keep reading to learn why multifamily properties are a great place to invest your money.
Millennials aren’t buying homes
Many younger people are enjoying the freedom of renting, as it often offers more disposable income. Even big life events such as getting married or having a child don’t seem to be encouraging millennials to decide to buy instead of rent. As the owner of a multifamily property, you can expect high occupancy levels and a great return on your investment.
It’s getting more expensive to build new apartments
Leading market experts are predicting that demand for apartments will continue to outweigh supply, meaning that a multifamily investment is a lucrative one. As land becomes more scarce and building permits become more expensive, less apartment buildings are likely to be constructed. This means that existing multifamily properties will retain and increase in value over time.
Multifamily properties are easier to manage
A property manager is essential to take care of the day-to-day operations of your property, such as collecting rent, coordinating repairs and dealing with tenants. If you have several single-family homes, they may be spread out over a geographical area. If this is the case, you may need more than one property manager to take care of them all for you. With a multifamily property, all of your units are under one roof and you only need one property manager to run operations.
Other income-generating opportunities
There are many ways you can add value to your property that will also benefit your current and future tenants. Think about improving shared outdoor spaces — adding picnic tables or a small playground will make your property more attractive to renters and you will be able to command a higher rental rate. For a small monetary investment, you should quickly see large returns from the increased rental income. If your property does not have in-unit laundry facilities, think about building a laundry room. This will improve the desirability of your property, and you will earn a steady income stream from the laundry machines.
Make your next real estate investment a multifamily property, and watch your returns soar. The team at 100Units.com is ready to help. As your multifamily advisors, our goal is to provide you with the insight and help you need to secure the best multifamily investment property. From sourcing real estate investment opportunities to protecting your financial interests during the transaction, our team at 100Units.com will help you attain the best possible investment for your money.
Contact us today to find the perfect multifamily property.