Multifamily property ownership will provide an investor with a great counterweight to a sagging economy. It is one of the best ways to build a Real Estate portfolio offering a solid return (cap rate) on your investment. Owning several units will give you a greater income cash flow to cover your expenses including debt support and provide you with a larger profit margin that would enable you to purchase more multifamily properties. A huge advantage of owning several units is that if you have a vacancy, your other units still generate the income you need to maintain your property. If you owned several single family homes for income versus a multifamily property, a single vacancy is a 100% income loss. A multifamily unit vacancy, while it is also a loss of income, is offset by the income of the other units; thereby reducing your risk. Multifamily properties with a minimum of 10 units can generate enough income to allow you to hire a property management company to maintain your property on a daily basis, while allowing you to sit back and enjoy the profits. Multifamily properties will never lose their appeal since there will always be a need for rental units. It is imperative, however, that you extensively research any property you are considering purchasing. You must be able to satisfactorily answer the following basic questions: Santana Property Group specializes in the sale of multifamily properties in the New York area, and can provide you with professional guidance in your purchase or sale.
Comments(5)