Apartment Investing
Investing in apartment building can be beneficial for inevstiors who know how to manage multi-family property and capitalize on their investments.
Multi-family properties provide some security when there is a downturn in the economy as rents will have to always be paid. In addition, when lending guidelines become strict for residential buyers they will have to stay put in their rentals before buying their own home. As a result, the local rents should stay close to the market rates further helping the landlord or owner repay the mortgage.
Advantages:
- Long-term fixed rate financing up to 30 years is always available
- Mortgage loan amounts up to 90% of project replacement cost
- Rates may be fixed before start of construction
- Provides construction and permanent financing
- Non-recourse loans (borrower is not liable in case of default)
