The dawning of 2020 brought with it a lot of hope for multi-family real estate investments. The trends are looking promising, and here is why we believe that the demand for rentals will not only remain, but will increase as the year goes on.
Renting is a Safer Bet
While renting may cost more per month than buying a house, individuals are still much more comfortable with the idea of not putting their roots down just yet. As job markets are constantly shifting, they find it better to be able to follow a job or an industry with little to no notice instead of having to cut a bunch of ties that they may have just recently established. The owning of a house isn’t the risky part, but the down payment can seem impossible, and mortgages are still hard to come by at reasonable rates. Because of this, people are opting to stay in rentals more indefinitely than ever before. That’s not to say that home-buying is completely in the past, but it is certainly less popular now than it has been in previous generations. . The convenience of it all is causing quite the draw to multi-family properties.
Convenience & Pricing
The younger generations are choosing to be slightly more fluid in their housing choices and we are seeing a rise in older generations who aren’t quite ready for a retirement home or assisted living moving into apartments with excellent amenities and little to no upkeep. The convenience of it all is causing quite the draw to multi-family properties. If home values decline, those who are selling houses will be less apt to jump right back into a new contract on a different house. We will see rising numbers of people who are selling homes and waiting for the dust to settle before they invest in another home. Young families are opting to live closer to the schools that they attend, business men and women are choosing apartments close to work, or close to the airports that they commute from. They may choose to live in an apartment or a condo for the few years that they anticipate needing to be close to a certain location instead of going to the trouble of purchasing a new home and trying to manage it when they know that they won’t be there for the long haul.
All in all, this is great news for the multi-family real estate market. The rise in renters means that our investments are safe, and we can count on our future investments going well! Here at Magnolia Capital Properties, we are committed to the long term protection of your assets. We are committed to properly managing each asset in order to keep you secure and benefiting in all aspects of your multi-family investments. Delivering and managing investments in real property will help investors achieve financial independence and generate a long term passive wealth strategy. We like B & C class assets because they are predictable. They have the ability to add and hold value in the long term. Our goal is to obtain properties and bring them up to a higher class quickly so that they start working for you as quickly as possible. If you are an investor looking to start investing, contact us today! Magnolia Capital Properties is here to build long term relationships with interested investors. So if you are looking to invest in multi-family properties that can grow in value, head to our contact page and fill out the contact form so that we can start investing with you today!
