Class C multifamily housing is considered, but it must have been
built by 1980. In addition, purchased properties must have an 80% or
greater occupancy rate. Finally, they must be opportunities with
proven value-add potential, forcing appreciation.
Commercial multifamily real estate is a proven way to invest in
becoming landlords. Leverage their professional expertise and create
stable tax-advantaged income streams.
Then, you can use that money to buy time back from work and do what
matters most to you. Stabilized multifamily assets can provide steady
high single-digit percentage annual cash flows. Income from this
accumulates and gets distributed quarterly.
Commercial properties are valued by their income, unlike residential
homes. Increasing the property’s income also leads to its value
increasing. They find properties where they can improve the interior
Improving these spaces can attract higher-paying tenants and increase
cash flow. Consequently, the property’s value rises, and it can be
done lightning fast. This additional value can amount to an extra 20%
to 40% upon the exit of the deal.
Multifamily investors are eligible to claim several tax benefits.
1031 exchanges let you defer capital gains taxes indefinitely. When
investors roll their unrealized gains into another asset, they do not