three reasons to invest in multifamily and commercial real estate
Cash Flow Potential
Commercial real estate investments can generate long-term and short-term returns for investors in the form of Cash Flow, where properties can generate consistent periodic dividends via, for example, rent payments.
Minimize Risk By Diversifying Investments
Adding real estate to your investment portfolio can create diversity with collateralized investments as real estate is tangible and insurable. Investors can thoughtfully invest in real estate in various asset classes, geographies and risk profiles. Commercial real estate investments typically provide longer holding periods compared to stocks and can be less susceptible to the daily up or down movement of stock value.
Appreciation of Real Assets
In addition to Cash Flow, commercial real estate can provide an upside potential as real property can increase in value over time (generally due to location, amenities and rental income increases). This upside potential can provide significant capital gains if an investor exits by selling the property or refinancing the property for more than its cost to build or upgrade. Further, investors can leverage tax gains through IRS Code 1031. Investors can sell an investment property and purchase another investment property via a 1031 Exchange where the capital gains are tax-sheltered.
Contact us to find multifamily or commercial real estate investment opportunities in DFW:
ken@tribecagroupdfw.com | 917-426-8185