If you are going to diversify your portfolio, consider the many perks of investing in multifamily real estate. Generally, a multifamily home or house refers to a property with more than two units, or possible rentals. There are distinct advantages of owning multifamily properties, and right now, the rental market is red hot.
Thinking of investing in multifamily real estate? Now is the time; here is why:
Less Effort, More Leverage
If you ask any successful entrepreneur or investor, they will tell you that leverage is key to creating more wealth. Leveraging assets helps you to build your portfolio, with less actual effort. Talk to a financial professional to learn more about leveraging your assets.
Portfolio Diversification
Your portfolio will grow quickly when investing in multifamily homes. If you want a healthy investment portfolio, diversification is key. If you do not currently have real estate holdings, consider adding multifamily dwellings to your portfolio. Â
Benefits at Tax Time
For tax advantages, real estate is one of the best investments that you can make. You can deduct interest on your mortgage and other assets, if applicable- plus, you will get additional deductions for depreciation on your property. Depreciation of real estate continues to be one of the key tax shelters for investors today.
Appreciation Over Time
Now is a great time to invest in multifamily real estate due to the demand- and you can expect appreciation over time. The potential is great, though it does ebb and flow, based on the market.
Passive Income Stream
Another compelling reason to invest in multifamily dwellings is for a source of passive income. Once your units are leased or rented, you can collect rent and let the property sustain itself. Ideally, you will generate enough income to hire a site manager or supervisor to keep a watchful eye and maintain your property for you.
Considering investing in multifamily properties? First, talk to the money experts at Means Commercial Capital. They can help you find the funding needed for your next investment opportunity; call or visit today.