01. Return on Investment
After all expenses are paid quarterly distributions are sent to investors, along with profit sharing at disposition or refinance depending on exit strategy.
02. Risk Resilient
Multi-family has proven to be more stable and continues to outperform stock market.
Ability to purchase $40M with only $10M investment.
04. Tax Advantages
Protect your returns through depreciating the asset as a tax write off.
05. Market Demand
Population Growth and Declining Home Ownership increases the demand for multi-family driving up future value.
06. Appreciation and Amortization
Real Estate appreciates in value while residents pay down the mortgage creating more equity and wealth to investors.
07. Forced Appreciation
As an owner of such an asset, you have the ability to increase the cash flow by renovating existing units and common areas and adding additional services for residents to force appreciation of a particular asset. In a multifamily asset, you are not completely based on market appreciation but how efficiently you can increase the cash flow.
08. Cash Flow
Multifamily assets when managed correctly produce a TON of cash flow. If an unexpected cost does occur, the cash flow from the asset will take care of the unexpected expense. Cash flow mitigates risks and adds a safety net to your investment.
09. Barriers to Entry
Single family homes hold easier entry due to their lower purchase price compared to multifamily investment properties. This is when we tell our friends and investors about real estate syndications. Real estate syndications allow investors to pull together their capital with other investors, to purchase an asset that is much larger than they could afford or manage on their own.
Syndications allow entry into multifamily real estate a lot easier than many investors think is possible.