In order to take your portfolio to the next level, you should look towards multi-family real estate, but with a new advantageous spin. The traditional multifamily real estate of apartment buildings, multi-plexes, and condominiums is getting a new look with the addition of virtual apartment buildings.
While the concept of owning an apartment building is a concept that is quite common, savvy investors are creating their own virtual apartment buildings. This allows them to gain the benefits of real estate investing:
- Cash flow
- Tax advantages
On top of this, they gain another layer of diversification, because instead of owning multiple residences all under one roof, like an apartment building, a virtual apartment building allows them to create an investment property portfolio across multiple locations to mitigate risk.
Virtual apartment buildings offer great benefits that come with traditional apartment buildings as well as some perks that you won’t find with other types of investments.
Benefits Of Virtual Apartments
The virtual apartment building allows you to take advantage of the best real estate opportunities across the country. Much like you’d diversify your own financial portfolio, having properties in many different neighborhoods will ensure that all your eggs aren’t in one basket. This means unpredicted vacancies or disruptions in the local economy won’t affect your portfolio as heavily as if you were only investing in one area.
You’ll be able to take advantage of the best real estate investments in many different neighborhoods.
There are other benefits that come from owning a virtual apartment building that you won’t find with owning a traditional apartment building, such as:
- Lower Point Of Entry: Unlike purchasing an entire apartment building all at once, you can purchase income properties one by one and add to your portfolio over time.
- No Common Areas: Because the properties are spread out, there are no common areas (club houses, community pools, or gyms) that need to be taken care of.
- Trash, Electricity, & Other Utilities: Tenants are typically responsible for paying utilities. This saves you the extra step of having to send out checks every month to all the utility companies.
Should You Invest in a Virtual Apartment Building?
Building a virtual apartment building can help you achieve a wide variety of financial goals. Because the properties are acquired individually, they can be used to assemble a portfolio similar to how you’d build your stock portfolio. This allows you to easily match an investment strategy with your risk tolerance.
Managing The Property
Whether it is a virtual apartment or a traditional one, most investors choose to use a property management company. As the amount of tenants grows it is simply a matter of providing a dedicated resource, so that all of your tenants are taken care of. A property management company will ensure that rent is collected, maintenance is performed, and make sure that tenants are found to fill vacancies.
When you set up your virtual or traditional apartment building with a property management company, you can care for your investment virtually, hands-free.
Choosing Your Location
As with any real estate investment, location is one of the most important details. Accurately gauging a neighborhood that is fairly priced to maximize your return on investment is of the utmost importance. Virtual apartment buildings let you acquire apartments from a multitude of different neighborhoods, so you can spread your risk and maximize your returns.
Building Your Virtual Apartment Building
If you are looking to build a virtual apartment building, now is the time to take advantage of great real estate opportunities that are on the market. Whether you are looking for two or three properties or more than 10, you can start building your virtual apartment today with HomeUnion.
HomeUnion is changing the way you can invest in real estate by providing you with pre-vetted houses and the data driven analytics to find great investments across the country.
Would you like to learn more about how you can build your virtual apartment building with HomeUnion? Call us today at 888-276-0232 or schedule a consultation with one of our real estate experts who can go over how you can best create your own virtual apartment building.