There´s no mystery or ritual behind real estate investing: it pays you off well. However, you´ll need to dedicate time to this and is also hard work that can be bothersome to people, but one thing is true: it will repay you at the end. When you start with single family investing, you see that there´s a monthly cash flow that goes to your pocket from each unit you have.
We know that a unit in real estate investing means a property, you can decide owning single family properties or going with multi-family properties, the question remains, which is better? Multifamily investing, all the way through. Remember the cash flow? With MF investing, that figure is going to multiply. It´s better to have a multifamily set of 8 properties than having 8 single unit properties. You will see in the long term that multifamily investing pays off even more.
We already know that multifamily investing means having more than one property unit all wrapped up together in a bunch, like owning the apartment building instead of owning one apartment. Here you´ll see some of the reasons why MF investing will pay you off.
We will repeat this every time we have the chance: multifamily investing significantly increases the cash flow. Alright, but what does this mean? That means you´ll have enough money to land on your feet if any inconveniences take place.
Covering the expenses
It´s much better to have all your properties under a single than having them dispersed all around town. If a single unit goes vacate, you´ll still need to pay for the monthly expenses and the mortgage, which means using a cash flow that might not be big enough to cover for them. You could also hire a manager that can be near your properties and inform you of the recent updates in your multifamily property.
The scale changes
Imagine that a hurricane like Irma passes through the neighborhood and tears the three roofs your three single unit properties have, the payment process takes longer than having the roof off of your apartment building, is just one payment.
What happens when your single house tenant decides to leave? The impact is much bigger than having a tenant leaving in a MF property. In this case, your cash flow is can cover the tenant´s expenses.
Having the real estate dream team
With the proper guidance by professionals who are both experts and people you can trust in, your learning process will increase and you will also be able to have a safe property. A manager can update you in any matter that can lead to the right decision. A sales advisor could suggest when you could sell your property. Moreover, if the cash flow is good enough, you can even decide to buy another property. Having a dream team can make a long term difference in your future decisions.
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