As an established professional with a successful career under his belt looking at a steady income each month, you’ve probably been exploring investment options for a while now. If you’re an accredited passive investor searching around for the most lucrative avenues that will help you retire comfortably, investing in real estate may be a smart choice. And, the most viable choice of opportunities is multi family apartments. Statistics show that people as young as 30 are taking a keen interest in the real estate market and diverting funds towards it.
But, the question is – Where to begin?
And, the best solution? Ask the experts!
Experts Advise Passive Multi Family Apartment Investing!
Multi Family Apartments are a preferred passive investment strategy that can consistently earn you a cash flow and monthly income with the minimum of risk. Investing in Multi Family apartments has the potential to make you financially independent sooner than you would think. Given that you have adequate surplus funds, by making that money work for you, a few years down the line, you could create a passive source of income to supplement your salary.
By choosing syndicated apartments as your investing in real estate option, you get the benefit of diversification. You will be pooling your funds with other investors and thus you become able to be part owner of a larger property that you might not have been able to afford with just your own monies. As a result of investing in a larger apartment syndication ownership, even if a few units were to go vacant from time to time, you continue to earn passive income. Further, you’ll have the opportunity to invest in high-value properties that are likely to appreciate more in the future.
In addition, there are several other positives to investing in syndicated apartments.
But, Why Syndicated Apartment Investing?
As the experts in real estate investments advise, there are several positives to putting your money in syndicated apartments. The most important among them is the lack of volatility that you may notice in the stock market, but with more aggressive earnings than in mutual funds. By doing your homework with due diligence, you can build personal wealth in addition to a passive income.
Syndicate Advisors Deal with Investment and Management Matters
By relying on the management skills of expert investors, you get protection from liabilities, risks of defaults, and any other investment pitfalls.
● Apartment syndicators are likely to conduct an in-depth analysis into each property and study its resilience during market downtrends before making recommendations.
● They also look for properties that have a background of good performance. In other words, the apartments are possibly already generating a cash flow before you invest in them.
● You won’t have to deal with any of the day-to-day management issues that are likely to come up. The apartment sponsor advisors take care of them for you.
You’re Buying a Performing Asset
- By getting the apartment sponsors to collect gross rents, passive apartment investors can allow the investment pay for itself. That’s because, after the mortgage installments are paid out of the rent, you’ll receive a portion of the cash flow from the remaining net cash each month.
- Most investors are surprised to find that even after paying off the mortgage principal and interest amount, and covering any maintenance and other overheads, they’re able to generate a cash flow. In essence, you’re investing in a performing asset.
You’ll Invest in an Asset that Has Potential for Appreciation
- Over the next few years, as the property appreciates in value, you’ll find that the investment is growing. Should you choose to sell the apartment, the amount realized allows you to buy a new apartment asset that has a higher value.
- Syndicate experts take steps to force appreciation of the property. They can achieve this appreciation by raising the income, lowering expenses and improving management systems, or combining all strategies.
- Since the apartment investment syndication is able to invest in a large number of units, you get the advantage of economies of scale. Any renovations or property improvements otherwise know as value add projects cost less per unit as a result.
Syndicate Apartment Investing has Several Tax Advantages
- Your apartment syndication investment can claim depreciation and write-offs on the expenses and interest payments, and add various other benefits on your tax return.
- You can defer paying any taxes on the gains in value you make because the taxes are applicable only at the time of selling the property. You can also choose to roll your capital gains over into a 1031 Exchange on a new investment. Please consult your tax advisor for advice first.
- Your syndication sponsor and their team will assist you through the entire process from beginning to end. These professionals will advise you on any taxation or other legal matters after first speaking with your CPAs, attorneys, and other experts in these fields.
Understanding How Syndicate Apartment Management Works
Once you put your hard-earned money in the hands of expert apartment syndication sponsors, you can sit back and relax. Rest assured that they will make the best decisions to keep your investment secure, but also make your money work. Here’s how:
- Investment professionals adopt a careful step-by-step process to choose the best properties available and evaluate them thoroughly before investing in real estate. They have a list of criteria that helps them identify apartments that will potentially attract renters. These experts also conduct a thorough examination of each unit, the quality of construction, location, and future prospects.
- Once the right apartments are identified,the next step is assessing their market value and comparing them with other units before beginning the underwriting procedures.
- In addition to physical inspections, experts study all the relevant paperwork to identify any loopholes or downsides.
- The next step involves meeting with accredited investors like you, and providing complete details of the property. You’ll also receive information about the possible renovations needed and any other expenses that may be involved.
- Before finally investing in real estate, you’ll have a clear view of the funds you’ll provide, the expected cash flow, expected costs and overheads, and of course, an estimate of the future return on investment.
- When you talk to the asset management professionals, they will encourage you to come forward with any questions you have. You’re free to begin investing in real estate only once you’re 100% convinced of the viability of the apartment asset.
- You can expect careful monitoring of your assets with regular updates and reports on the status.
Investing in Real Estate has Never Been Easier
Should you choose to invest in the Syndicated Multi-Family apartments, you’ll find that the procedures are streamlined and easy to use. Simply log onto our website and add in your contact details. A representative from our investment firm will get in touch with you to verify your credentials. Once the accreditation is complete, you’ll sign the Subscription Agreement. This legal contract provides you with all the terms and conditions of the property purchase.
All that remains is now to provide the necessary funds. And, you’ll become the proud syndicated owner of the multi-family apartment. Sit back and let the returns start to come in. You can expect distributions each month.
Does this sound like something you would like more information about? How about contacting us at Cambe Capital. Simply add your contact details and we’ll get back to you with all the details you need.