Multifamily Homes

If owning your own home is the American dream, then owning your own multifamily home is a real estate investor’s fantasy. Just as it sounds, a multifamily home is a residence that has a number of different units or apartments. When an investor purchases one of these homes he generally has two choices—he can fix it up and wait for the housing market to improve and then sell it, or he can rent the units out to qualified tenants. Though both options can be quite profitable, from a long term perspective renting the units out is definitely preferable.

The great thing about renting units out is that you will receive a steady stream of income every single month. Just make certain that you do background and credit checks on all prospective tenants to ensure that that can actually pay their rent. When you have found a few reliable renters, all you have to do is wait for the 1st of the month and deposit your checks. You can use these rent checks to pay off your mortgage. It won’t be long before your mortgage is paid in full and from that point on all of the money that you receive will be pure profit.

But being a landlord isn’t always easy. Since you are the owner of the property, you are the one responsible for all maintenance and upkeep. It is your job to make sure that the snow is shoveled, the grass is cut and that the weeds are pulled. It is also your responsibility to take care of any structural or plumbing problems your tenants might encounter. If, for example, the roof starts leaking or the toilet is running, it is your job to fix the problem. Many landlords actually have independent plumbers and other professionals that they call when there is an emergency.

Though being a landlord and dealing with carping, captious tenants can at times be a chore, there is no doubt that it can be an extremely profitable enterprise. All you need is patience and the money to invest in a nice multifamily home. If, however, you decide that being a landlord is not for you, it probably won’t be hard to sell your new home. Multifamily homes are always in higher demand than single-family homes because investors know that a nice home can yield substantial returns from rent checks and requires far less maintenance than single-family homes.

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