The recession has brought about many changes in all forms of business and the real estate has not been spared either. With steadily falling property prices, this is not the time to sell. However, if you possess any capital that you can afford to part with, buying some property is a great decision. The most profitable of all these properties would be apartment buildings.
Most people make the mistake of investing in single-family homes or even duplexes. This is a mistake only from an investing point of view concerning faster return on investment. The apartment building offers many advantages to an investor that these other types of property do not have. When it comes to managing properties, having them spread around in many neighborhoods will affect your time management. Not only that, maintenance work, mortgage payments, bills, etc have to be attended to separately. This represents hassle and more commitment from the investor’s point-of-view.
With an apartment building, all of the above problems are solved because it involves only one location. In addition to this, the investor can appoint a manager to handle any work involving the property while sitting back to enjoy the profits. Apartments are also easier to market because people perceive it as cheaper to rent than pay mortgages on their own property.
Although, the overall investment is higher it is only because, in essence, multiple properties are being purchased. However, the advantages in managing a single property with multiple tenants can give you a better and faster return on investment than any other real investment option at the moment.