"Investing in multifamily properties isn't just about returns; it's about creating enduring value and community impact."
- Rise Capital
But because everyone needs a place to live, real estate has many benefits that other types of businesses do not offer. Most of these benefits are amplified in commercial and especially multifamily real estate.
copyright 2024 Rise Capital Investments
#1 asset for highest SHARPE Ratio over the last 20+ years
Significantly lower default rate in recessions than single family and most other types of commercial real estate
Lower cost per unit by having more units under one roof
Less vacancy risk spread across more units; typical max is 10%
Cost segregation study for accelerated depreciation
Often of $25-40k write off per $100k invested to offset up to all rent income plus up to $25k active income per couple
Unlimited depreciation write off for "Real Estate Professionals"
Additional benefits for opportunity zones or affordable housing
IRA & 401(k), qualified retirement custodians, HELOC, 1031, margin loans, cash
Entirely passive, no landlord Responsibilities
Projected returns higher than average stock market returns
Limited liability while enjoying both and cash flow while still enjoying huge upside
Monthly Reporting Including Financials and Highlights
Receive Monthly Distributions after Stabilization Period
There may be a lot of new terminology up there to absorb, so be sure to ask questions in the comments for definitions or expanded explanations. Who knows, your question could turn into a full-length article!