Multi-Family Loans | What is a Multi-Family Home?

A multi-family home is a building that contains multiple residential units, including townhouses and apartment buildings. A residential multi-family building houses several different tenants or owners.

multi family property loans, financing multi family property, what is a multi family property?

What is a Multi-Family Loan?

A multi-family loan allows individuals to purchase more than one residential unit, such as apartments and condominiums, under the same mortgage. Multi-family loans may differ from one another according to the term, rate, fees, recourse, leverage, assumability, pre-payment requirements, subordinate financing, lock-out periods, carve-outs and much more.

GuardHill has extensive experience in helping our clients secure multi-family loans for small and large multi-building properties, as well as build multi-state investment property portfolios.

Buying a Multi-Family Home: Reasons to Purchase and Associated Benefits

Although purchasing a multi-family home may be costly up-front, there are many reasons as to why someone would buy a multi-family home. One popular reason is for investment opportunities.

-Steady Cash Flow

Investing in or buying a multi-family home allows you to rent out the unoccupied units to generate regular monthly rental income.

-Expand your Investment Portfolio

Invest in multiple units at a time, with one mortgage.

-Easier Property Management

Steady rental income may offset the expense of a property manager. The use of a property manager will make maintaining and managing the property much easier for you.

-Proximity to Tenants

If you choose to live in the multi-family property you are buying, you will be neighbors with your tenants. This may help make the property management process more manageable, as you are living in the same building.

-Rising Property Value

Doing minor improvements and renovations to the units may increase the overall property value. Also, increasing demand and rising rents may also increase the value of the property.

 

GuardHill Financial is an expert in providing our clients with multi-family property loans that match their investment needs and goals. Our unique lending platform allows us to deliver the best financing solutions to our clients.

If you are looking to secure a multi-family loan, contact us today!