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WHY
MULTIFAMILY?

There are several benefits to

investing in multifamily properties, including:

1

Cash Flow

Multifamily properties generate efficient distributions of cash flow every month. Rents are predictable, and once a lease ends, units can be turned over easily and re-leased to ensure steady cash flow year in and year out.

Multifamily investments historically enjoy long term appreciation through annual growth in rental rates.  Rental increases can be the result of successfully executing operational and/or physical improvements as well as by benefitting from local market-wide rent growth. Real estate values ebb and flow, however, over the long-term, values tend to steadily increase, especially for long term holds (i.e. 10 years or more). 

2

Appreciation

3

Lowered Risk

The multifamily industry is unique in that it is one of the only alternative asset classes where demand has always historically outpaced supply. During times of both economic prosperity and uncertainty, people will always need somewhere to live. There is also less volatility as returns are not correlated to stock and bond markets. Short term leases (e.g. one year) allow for timely responses to market changes. 

During inflationary times, as wages grow, tenants are also able to pay a higher rent, meaning that rents are able to increase along with inflation. Real estate provides investors with asset value protection as rising construction costs limit the amount of new supply being added to the rental housing stock, putting upward pressure on rents. 

4

Hedge Against
Inflation

5

Tax Advantages

Multifamily offers unique tax advantages during the holding period such as deductions from depreciation as well as tax deferral upon sale from 1031 exchanges.

GET IN TOUCH

We want to help you build and preserve wealth for your family and future generations. Contact us to learn more about adding multifamily investment to your portfolio.

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