With the wide range of real estate investment options available in the market, it can be difficult to choose the best one to invest in. Every investor wants to attract potential tenants and generate subsequent revenue. However, it is essential to analyze the factors associated with the property, such as affordability, ability to manage, future expenses, and profits in the immediate as well as long run.
According to Forbes, Dayton is one of the fastest-growing real estate markets currently in the country. The city is attracting many investors and buyers. Investors are considering both single- and multi-family houses for their major financial investments. Both types of Dayton properties are potentially beneficial for investors. Let us learn more about the advantages of investing in single-family and multi-family houses in Dayton.
Benefits of Buying A Single-Family Property in Dayton
- Long-term lease
Single-family homes attract tenants who prefer long-term tenancy. Couples and families seem to stay in single-family houses. These families are financially stable and often reluctant to shift houses due to the location of the working place or schools of the children. Also, a single-family home is more manageable in the initial stage of your investment if you are a first-time investor.
- More space and privacy
Single-family homes are more spacious than multi-family homes. They are generally around 1,500 square feet. These homes offer privacy as they don’t have shared walls. There is no scope for interference from neighbors, thus making you feel more comfortable in your space.
- Lower property costs
Single-family homes are more affordable than multi-family houses. They are easier to finance and have lower down payment requirements. The lower maintenance costs and insurance make it a cheaper option.
- Consistent resale value
If your single-home property is in a good location and well maintained, you can count on it holding its resale value.
Benefits of Investing In Multi-Family Properties in Dayton
- Uninterrupted cash flow
It is one of the biggest benefits of investing in multi-family homes. Owners can get stable cash flow with a monthly rental income. These properties have multiple tenants, whether they are duplexes, triplexes, or quadplexes. If there is a vacancy in one unit, you will continue earning from other occupied units. Therefore, they offer high occupancy rates.
- High market value
Multi-family homes offer high market value due to their continuous market demand. It’s also easy to secure financing for multi-family properties. Dayton’s real estate markets have the highest rent score in the country, which is likely to continue in 2022. Therefore, it appeals to multi-family property investors.
- Improve your property portfolio
If you are new to real estate investments and want to grow your portfolio, purchasing multi-family properties is a wise choice. Investors can build a relatively large and diverse portfolio of rental properties by investing in multi-family houses. Working with different tenants, sellers and managing different units may help you to build a network and further enhance your portfolio.
- Tax benefits
Multi-family property investment offers more tax benefits. You can deduct operating maintenance costs, property management fees, utility charges, insurance premiums, and other marketing costs. In the long run, you can take advantage of depreciation and cost-segregation tax benefits.
Ultimately, both single-family and multi-family houses have their own benefits. Investors must conduct an in-depth analysis of the current market scenario in Dayton before purchasing a house that fits their budget.
If you want to invest in Dayton rental properties, ManCo Property Services can provide you with pre-purchase assistance. We offer all types of rental management services in Dayton. Contact us for further assistance.