- Scott Gilmore
10 benefits of investing in Multi-family Properties
Looking to invest in real estate? Ever thought of investing in a multi-family properties? No? Well, you should! In fact, there’s a lot of benefits to investing in a multi-family property compared to other property types.
Multi-family properties merge the strengths of both commercial and residential property elements. At HOWE Real Estate, our experienced team of brokers thrive on helping investors gain the best of both worlds. Although investing in multi-family real estate may seem like a tougher challenge compared to other properties, it is more accessible than most investors assume.
If you’re interested in investing in a multi-family property but have little understanding or background of many different aspects of real estate, our team at HOWE Real Estate will educate you about the possibilities. We take pride in the way we assist investors through our unambiguous support.
Investing in this type of property has many benefits. When it comes to finding and purchasing a multi-family property, we’re always available to help. We have worked on many multi-family projects, and enabled investors to maximize their ROI.
For this article we wanted to share with you reasons why you should invest in a multi-family property.
Reasons to Invest in Multi-family Properties
Lower operating costs. When all your units are in one location, your per-unit expenses are less. Consolidated bills. Fewer bills. Less roofs or yards to maintain. Collecting rent is easier.
It’s less work to buy more. It takes a lot more work to invest in 20 or 30 single-family homes to one building with 20 or 30 units. You only have one closing. You don’t have to go to multiple site visits. You only need negotiate with one owner. You will save time and money.
Even if one or a few tenants move out, you still have rent coming in from other tenants to cover the expenses. There is less risk when you have multiple tenants paying the rent and expenses of the property. You don’t have to worry too much about losing too much cash flow if you have single vacancies from time to time.
With a multi-family property, you have more control to force the appreciation of the property by driving up the net operating income – you don’t have to wait for the market.
There’s less competition in today’s market to invest in a multi-family property. A lot of investors think it’s too difficult to buy a multi-family property, so they don’t go down that path.
Multi-family properties are run similarly to single-family homes and aren’t as difficult to upkeep as a retail space.
Multi-family properties can be managed professionally, so the owner has more time to work on other things.
Multi-family properties are known to be extremely stable during a poor economy, because people want to stay in their homes as long as possible.
Less-complicated financing. A multi-family property is more likely to be approved by a bank for a loan than a single-family home, because these properties generate good cash flow monthly.
This type of property helps growing a portfolio faster.
Looking for a Louisville Commercial Property for Sale?
If you’re looking for an investment that will generate a lot of cashflow and grow your portion, a multi-family property is the way to go. The funding multi-family investments can be easier despite the need for more capital. Profits can be sky high when this investment opportunity is utilized to its full potential.
At HOWE Real Estate, we will help you and can provide site selection, demographics analysis, property management, representation, and sales.
Mixed-use properties offer big ROI possibilities for investors, and our team prides ourselves on helping investors make it happen. Let our team of professionals at HOWE Real Estate help you get started on looking for a Louisville multi-family property or other commercial real estate in Louisville. We work with buyers, sellers, lessors and lessees across all property types in and around Louisville. To contact us, send us an email or call 502-890-4475.