Anyone who is in the idea of getting into the real estate investment the best option would be the multi-family commercial property rather than the single unit homes. The reason why you would want to go the multi-family way so as to increase one's portfolio with the potential of amassing one's capital. Check out 37th Parallel Properties to get started.

For those who are new in the multi-family investment then it's good to break it down in its first by giving a preview of what a multi-family investment is all about. For one to qualify to be referred to as commercially viable real estate property, the dwelling (units) must not be less than five units. The multi-family units are different by location and size of the building.

The reason why many real estate investors seem to be attracted to multi-family units is the kind of returns they have and the constant cash flow. That is there are more tenants that are to pay rent. Even in cases of vacancy, the impact is minimal compared to single homes. When there is a vacancy in a single home what it means is that there is 100% rental loss as compared to a multi-family unit that will be having occupancy in some units during a single vacancy. Check this resource for more info.

The financial institutions do favor financing loans on multi-family units compared to single home units. The reason being that multi-family properties tend to have a strong cash flow on a monthly basis. The risk is less as compared to single home units. When you have a property the size of a multi-family unit with numerous tenants it is more advantageous for managing it than single homes spread out in different locations. The appreciation of a multi-family commercial property will include the cost-efficient maintenance with a higher return on investment given the number of tenants residing in one unit of the multi-family unit. There is a higher demand when one wants to sale such multi-family units given their returns as compared to single homes.

The investor of multiple family units can save on certain inventory purchase. The investor could stick with one color scheme for the whole unit, thus save on the cost of purchasing paint. Similarly, the investor could buy all fixtures for the common area, bathroom, and kitchen at a discounted rate due to bulk purchase. The uniformity of finishes and fixture gives the multiple family units a more unified look.

​

Find out more about the things to look for when buying a home at http://pocketsense.com/10-things-to-look-for-when-buying-a-home-12634168.html.