Investing in a multi-family property is a great idea for many different reasons. If you choose the area carefully and think of your target audience/tenants while looking at what is available on the market you’ll be ahead of the game. For example, if you wish to rent out your multi-family property to young professionals in Chicago, make sure you are investing in the heart of the city where all the action happens.
From purchasing a new investment to leasing your property, there are lots of hoops to go through, so make sure you have done your research and have the right guidance along the way. Once you’ve done that research thoroughly, we guarantee that your multi-family investment will be very rewarding.1. Great for multi-generational and extended families!
With COVID-19 and its secondary effects on family life and mental health, investing in a multi-family home to create a safe and supportive bubble is a smart idea. You can have both your own privacy while not feeling alone either. It’s a win-win!
2. It’s generally a low-risk investment and open to many.
If you’ve been saving up for a while but are unsure where to place your money and how to maximize that investment, we have a solution for you: buy property! The real estate market is usually less volatile than the stock market. Even if you don’t have a huge income stream the investment will usually steadily increase in value. Investing in a multi-family property is suitable whether you are a first-time buyer or a real estate master. What’s important is to assess or reassess your skills and responsibilities as a landlord. Do you excel in maintenance management but need a hand with your finances? Determine the areas where you need that professional guidance.
3. There is an entire industry available to help with maintenance and management.
Tackling repairs, maintenance, and ground keeping is definitely easier if all apartments are nearby. Additionally, costs are kept low as you’ll only need to hire one team as your dedicated property managers. You also have the option to live in one of the apartments to tackle these yourself and create a friendly rapport with your tenants. In any case, being closer to the property is key to being a good landlord.
4. Tax breaks!
It’s good to know that when making an investment, you get deductions and depreciation (homestead exemption, etc.) Make sure you do your research on what you are owed and hire professional experts to help you put that investment against other incomes and assets. Long story short, you save a lot of money on property taxes.
5. Timing is now.
We all know it, with any successful business endeavor or investment, timing is key. With COVID, perhaps you have had the opportunity to save up more than usual or had more time to think about your future investments. In any case, you’re in luck because the market is in the buyer’s favor.
WHO IS FULTON GRACE?
We are one of Chicago’s leading providers of comprehensive real estate services. We are home to an ever-growing team of savvy & reputable local realtors, seasoned property managers, and customer-service-oriented staff. Whether you’re looking to find a new home, sell your home, or have your property managed, let us be your trusted real estate advisors.