Published July 30, 2010
Multifamily apartments are beneficial for both tenants and investors. Tenants always have a good place to stay, while investors are never out of business.
So if you’re planning on engaging in a real estate business, we recommend you start with multifamily apartments. You can find properties like these almost anywhere, but you can’t just jump in to every property you see. To make things easier for you, here are some tips to help you in buying multifamily apartments:
Most likely, apartment owners will not post "For Sale" signs on their property. They don't want to alarm their tenants. They’d rather advertise the for-sale status in such a way that tenants will not be aware of their plans. It's best to search for properties on the internet or in local newspapers. It’s more convenient. When you see a property you are interested in, go ahead and contact the owner. Ask for the location so you can drop by. If the place is interesting, set up an appointment immediately and look at some units.
While walking around the multifamily apartment property, if possible, talk with the tenants. But it’s also important that you do not ever mention the owner’s plan of selling the property and your interest in purchasing it. Owners fear that tenants might move out when they discover the property is for sale. When scenarios like these happen, there’s a greater possibility that the apartment owners will not push through with the selling of their real estate property.
Aside from talking with the tenants, you should also inspect the property meticulously. That way, you’ll be able to understand why the owners are selling the property. Try to see if it’s managed and maintained well or not. Also, try to weigh if your finances can shoulder the restoration expenses of the property. If you feel that your finances are not enough, other options are always available.
Check out, also, multifamily properties that are sold by lending institutions due to foreclosures.
Just remember that when you want to invest in something, you can always avail of commercial property loans or multifamily loans at various financing companies.
Among all those companies, you are in the best hands with Apartment Loan Store. Apartment Loan Store enables investors of all levels to reach their goals in commercial real estate by offering a unique approach to multifamily lending. We are committed to providing tools and information in addition to ensuring a smooth process with continuous updates and advice throughout. Our friendly mortgage professionals were hired because of their expertise, their passion for apartment lending and their commitment to providing you the best consultation and service. Our loan officers will prepare a pre-qualification letter in order to quote a rate, cost, valuation estimate, and expected time-frame for your loan request.