Why Multifamily Real Estate?
During the last housing crisis, multifamily investments had a default rate of .02% compared to 6% for single-family homes.
Tax Advantages
Investors can utilize leverage depreciation, cost-segregation, and Section 1031 exchanges to defer taxation on much of their real estate income into perpetuity.
Hedge Against Recession
JP Morgan compared the worst 5-year periods for various investments from 1977-2012 and calculated total returns including cash flow. By the end of the worst 5-year period for real estate, a $100 investment had increased to $110. By the end of the worst 5-year period for a portfolio of 60% stocks/40% bonds, a $100 investment had decreased to $94.
Hedge Against Inflation
Multifamily property values have proven to be a nearly perfect inflation hedge since 1978 when reliable data became available.
Risk-Adjusted Returns
Multifamily has exhibited the least volatility and the highest risk-adjusted returns of all real estate asset classes for decades.
Demand for apartments is at an all-time high and climbing
Vacancy Rates Remain Low Due to Increased Demand
Real Estate Historically Outperforms Stocks and Bonds
Multifamily Investments Historically Outperform Other
Real Estate Classes
