The single family market for renters with children is a strong market. This type of renter is looking for multi-family apartments complexes with enhancements and a kid friendly environment. So the single family renter is looking for places that have heavy duty swing sets, game rooms, and a clubhouse and; of course, a swimming pool.
A community pool is a wonderful selling point for a multifamily property then. And since pools are where people gather, a sense of community can be built within the property. In areas of high temperatures, a place with a pool can be a very tempting place to live in too. So your list of prospective tenants should grow quickly when a clean and refreshing pool as one of the selling points.
As a pool owner of a multi-family property, it will be your responsibility to make sure the pool area is safe though. You need to review the safety codes for your area then and seek legal counsel if you’re unsure on whether you’re meeting these qualifications. You also need to make sure the pool fences are in proper repair. Pool fences have a twofold purpose, first to keep people who don’t live there out. You can issue a special key or code to the people who live in your complex though so only they can enter the pool area. To the second point, pool fencing is to keep the very young children away from the water. Children are attracted to water and accidents can happen very quickly.
Installing a swimming pool in your multifamily complex may be an expense you want to consider. It can be a wise investment as to draw the type of tenant you want living in your buildings. In this figuring the cost per tenant into the rent can pay for the pool and any repairs it may need down the road in no time.
Blue water, the scent of chlorine, sun reflecting off the water and happy tenants gathered around the pool is what a prospective tenant will see when taking a tour of your properties. This is a scene well worth investing in.
Thinking about buying an apartment community or other large scale multi-family complex? If you’re curious about the amount of time they may take, try a smaller scale project first.
What about buying a property and converting it into a mini multi-family apartment building? With a house undergoing multi-family construction, you have several choices too. You can live in one side yourself and rent out the other side; thereby the rent you collect will pay the mortgage payment. Or you can rent out both sides and have double the income. Either option will create cash flow and create a more sound financial future.
Another point is that multi-family homes sometimes are within the same price range as a single family home. When a lender knows that you are going to be generating income with the home you’re buying too, your lender considers 75% of the rent as part of your anticipated income. This in turn will let you buy a more expensive multi-family home for the price of a single home with the rent taken into consideration as income.
If you have a property that is undergoing renovation into multi-family apartments, keep in mind that it’s more profitable with more than one unit on the property. If you have multi apartments instead of just one unit too, then if an apartment is empty for a month, it won’t be as much of a financial burden.
And if you buy a unit which has two or three apartments in it, then most likely you’ll be able to finance traditionally instead of having to commercial finance. This means you would only need a standard down payment of 20%. You will also be able to apply for different types of mortgages such as a fixed rate or an adjustable mortgage.
When redoing a property with multi-family construction, the location is also important. Buying property which is near places such as large employers, grocery stores within walking distance and even by universities and colleges is good here. Renting out to students can be profitable also and know that they prefer to rent within a building which is student designated.
There are many advantages to multi-family ownership. Consider the options and what will work best financially for you. As long as you keep your expectations realistic, you can generate a profit while having someone else make your mortgage payments.