Of all the types of business property you could invest in, multi-family housing units are one of the best options today. They are a financially sound real estate investment, available in many markets, and offer many positive reasons for buying business property of this type. Consider the following advantages to buying multi-family units and discuss your local availabilities with experienced business property realtors.
Easier and Better Financing
Buying business property such as multi-family housing is more expensive than investing in an individual home; however, it can be more easily financed for a number of reasons. You are more likely to get an affordable loan on this type of real estate because of its earning potential, especially if you have plans to improve and make it more desirable.
Even though they cost more, multi-family units are a better financial risk for lenders who are more willing to finance this type of business property. You may even get a better interest rate because of the lower risk.
Properly managing investment properties is a critical factor in achieving financial success. One thing business property realtors know is that managing multi-family units all under one roof is easier, convenient, and more efficient than managing multiple individual properties.
The continual stream of income also gives you an important opportunity to pay for a professional management service to keep everything running efficiently. A well-managed property will always be more desirable than one that is not.
More Earning Opportunities
Multi-family units provide a continuous stream of income, even if there are a few vacancies. Yet what makes this kind of business property unique in terms of earning potential is that it can support the addition of other streams of income. From coin-operated laundry facilities to vending machines and a video arcade, you can increase your income while providing additional and desirable services for your tenants.
Holds Value Better
Multi-unit housing also holds its value better than many other types of real estate investments because it brings in a constant flow of income and is in demand. Quality rental housing is more in demand today than ever before, so it serves an important community need. In turn, business property realtors know this public demand makes such investments more popular for other investors.
Based on these two things, buying business property like multi-family units can be profitable both today and tomorrow should you decide to sell in the future.
Investing in multi-family units can also help you receive certain tax breaks. This type of housing provides many community benefits. To help you continue providing these benefits, the government allows many deductions on this type of business property. It also offers different incentives for purchasing, rehabilitating, and renting out multi-family units in areas where they are most needed.
There are many reasons why buying business property that consists of multi-family units can be a lucrative investment, especially if you are new to commercial investing. Local business property realtors can advise you about the best opportunities in your market of interest!