One of the most profitable real estate investments you can make is the purchase of multi-family homes or apartment buildings. You can choose to live in one unit and rent the rest out. Or you can rent out all of the units both multi-family homes and apartment buildings. It will increase your passive monthly income, as well as your net worth, exponentially.
Why Choose Multi-Family Homes or Apartment Buildings?
Both multi-family homes and apartment buildings offer you the unique opportunity to own property which is generally at a lower risk than a single family home. Additionally, both offer you the ability for obtaining monthly passive income. There is generally a strong demand for multi-family homes and apartment buildings.
How to Choose the Right Property?
Choosing the right property to invest in is a matter of evaluating the value of the property. You also consider the incomes it generates. You should do your due diligence on the property, review its income potential and possible yearly expenses.
How Much of a Down Payment is Required?
Generally the purchase of a multi-family home or apartment building will require up to 30% down payment. Versus the lower down payment requirements that come with purchasing a single family home.
How Do I Qualify for a Mortgage for the Balance of the Purchase Price?
Generally, to qualify for a mortgage loan for the balance of the purchase price you have to offer a personal guarantee for the loan. This can be interest in another property or in your own personal residence.
Managing your Property
Once you have purchased your multi-family home or apartment building you should hire a property management company. It will deal with all of the various tenant issues which will likely arise. This will free up your time for your real estate investment business. You won’t have to deal with the day to day issues of the residents of your building.
Isn’t it time you learned how to capitalize on one of the best markets for real estate investing that this country has ever seen? With the recent flood of foreclosures now is the time to learn to invest correctly in real estate.