Apartment Investing

What do you picture when someone mentions real estate investing? For most people it's a single-family flip or rental property. Few, if any, picture apartment investing. Liberty Real Estate Advisors is out to change the way investors think about real estate investing. That is why we have put together a free Why Buy Property Introductory Workshop to introduce you to the unique opportunities apartment investing has to offer and how you can get involved. Here are just a few of the advantages apartment investing has to offer:

Cash Flow and Occupancy

Cash flow is one of the biggest advantages of apartment investing. Every month you have multiple tenants paying their rent (Multiple being the key word here). In single-family you only have one tenant paying rent. What happens if your tenant moves out of your rental house? You have 100% vacancy and $0 revenue. In apartment investing you can have several tenants move out and still have cash flow coming in to pay your bills, which also gives you some time to re-lease the units.

Management and Economies of Scale

Apartment investing also has a distinct advantage in terms of management and economies of scale. Let's compare managing 15 single-family houses to one 15-unit apartment community. In the single-family model the investor would have 15 lawns to maintain, 15 roofs to repair or replace and 15 tenants spread out all over town. In apartment investing you have one, maybe two roofs to maintain, one lawn, and your tenants are all in the same location. Now, extrapolate 15 houses to 250. How much easier do you think it is to manage a 250-unit apartment versus 250 houses? In addition, your staff is built into the model for apartment investing. Instead of you doing all the work you have a competent, professional property management company run the asset for you.

Apartment investing also gives you the ability to buy in bulk. This can lead to better pricing for materials, which lowers the operating costs of the asset.

Economics and Demographics

More and more people are choosing to rent instead of buying single-family homes. It is estimated that over 53% of Houston area households lease, and that number is estimated to continue to rise. Renting an apartment gives the tenant more flexibility in today's economy. Lease terms are more flexible and offer a shorter-term commitment than owning a 30-year mortgage. With job uncertainties, corporate transfers, and short-term assignments, apartment living is a good choice for many. Another benefit is the array of maintenance-free amenities the tenants can enjoy. Many apartments have their own gym, swimming pool, playgrounds, coffee shops, and tenant planned activities. This is in addition to not having to care for the lawn or maintenance of the property. Now is the time to choose apartment investing just as many people are choosing to make apartments their home.

If you are tired of making "other" people wealthy, sign up for Liberty's apartment workshop today. Click on the button below to take charge of your financial future.

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