Im a student enrolled in university atm and am wondering which approach is better: Buying an apartment complex and managing it OR buying a home and turning it into a duplex, additionally renovating it inside and out. I can renovate rooms in an apartment complex but this is far more demanding. I am aware that it is easier to manage 6 rooms in one place other than 6 rooms all over the place. Thoughts? Thank you.
I would think it would depend on a whole host of things. For example I bought an averange block of land in an average street, nothing out of the ordinary. The guy next door also bought the block for the same price as I, the blocks where the same size.
I made $420K in two years after building, he made $80K in two years after building. That's difference between experience and no experience.Building UNits/houses whatever will always reep more rewards than something already built UNLESS you are buying them in an extraordinary situation.
I suggest that you buy an apartment complex and manage it, as long as you know how to deal with your tenants properly, you will go a long way. You can work directly as the manager of the apartment complex or you can work through a property management company.
It clearly depends on how much money you have. However in the American market .you can only get private funding in houses under $100,000. Once we look at commercial property which can include apartment complexes we can look at 60% non-recourse finance which means that the loan is only on the asset at rates of around 5%. Now when you consider that the net returns are generally 10-15% . From the banks point of view they deem these investments to be less risky than a single family home and generally the capital growth will be higher as well
Nigel Kibel | Property Know How
http://propertyknowhow.com.au
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I suggest that you buy an apartment complex and manage it, as long as you know how to deal with your tenants properly, you will go a long way. You can work directly as the manager of the apartment complex or you can work through a property management company.
I am totally agree with you, kelvin. It would be easy to manage the apartment complex rather than buying a house.
I suggest that a real estate agent can solve your problem because agents has all type huge property collection and have prices and location knowledge that which location prices are low.
When you looking for apartments than research about property attribute like AC, Sea View, Flooring, bathroom, parking etc. than decided which location you have prefer with the help of agents.
HeatherEstate | Heather Real Estate Agent
http://www.heather-realestateagent.com.au
Email Me | Phone MeReal Estate Agent in Mackay Australia
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