Individual investors and smaller family offices are often overlooked by Wall Street when it comes to investing in multifamily properties. With Wall Street investors amassing a staggering $110 billion to purchase American single-family homes, the average investor may feel intimidated and see limited opportunities to build wealth through real estate investment.
Starting a real estate portfolio is more attainable than one might imagine. One option is the single-family housing market, which offers a more accessible entry point for individual investors and novice investors. Unlike multifamily properties, which are largely dominated by large institutional investors, single-family homes offer greater flexibility
and the potential for increased cash flow.
Recent legislation in states such as California, Oregon, Minneapolis, and Utah have allowed for the construction of more units on single-family lots. This presents new opportunities for individual investors to take advantage of the same cash flow opportunities previously only available to professional investors.
By staying informed and understanding market trends, individual investors can carve out their own niche and take advantage of opportunities that may not be appealing to larger institutional investors. Single-family properties, with their potential for increased cash flow and greater flexibility, provide a promising alternative for those seeking to
enter the real estate market.
Investing in single-family properties is also a great option for novice investors, as it provides a chance to test the waters of the real estate market and gain valuable experience. In certain states, new laws allow owners to convert their single-family homes into medium density multifamily properties, further expanding their investment opportunities.
Contact A360 Capital today to learn more about how we can help you achieve your real estate investment goals.