Apartment Market

APARTMENT BUILDING INVESTMENTS ARE RED HOT AND HERE IS WHY:

  • Lower cost per unit than single family homes in the same area
  • Greater cash on cash returns.  Traditionally, apartment buildings offer a greater return than single family homes do as rentals.
  • More availability of apartment loans with lower interest rates than  non owner occupied single family investor loans
  • Non Owner occupied single family home loans are restricted in number to a single borrower
  • Foreclosures- All of  the families who have been displaced because of foreclosures have to live somewhere and the majority will most likely live in apartments
  • Investors benefit from the cash flow immediately.  With enough invested apartments provide a steady income stream on which one can live comfortably
  • Professionally managed by people who are experienced at apartment property management and investor reporting
  • Strong demand in metro areas with limited apartment vacancies and high single family home prices
  • Provides a good tax shelter of your cash flow and taxes with a tax deferred exchange while you grow your portfolio
  • If one sells taxes are far less than ordinary income tax at a current low capital gains tax of 15%