Why Invest In Apartment Buildings

Small Apartment Building Loans

Whether you’re buying a single apartment to rent out or a building full of them, you can reap many of the same benefits. You also get the same two key drawbacks — dealing with tenants and owning an investment where your money is locked up and usually not able to be accessed quickly. Ultimately, though, most apartment investors feel that the benefits of owning multi-family property make it an excellent wealth-building vehicle.

Healthy Investment Returns

Even relatively conservative and low-yielding apartments offer healthy returns relative to other asset classes. Many investors are attracted to the cash flow, which, depending on how you buy your apartment, can be anywhere from a few percent to the mid-teens per year, calculated relative to your down payment. However, you’re also paying your loan down, and this adds to the return you’ll realize either when you sell the building and cash in your equity or when you pay the loan off and get an immediate increase in monthly income. While principal reduction may not seem like a major contributor to your return, bear in mind that your mortgage increases its impact, since the growth is relative to your down payment.

Operational Simplicity

Compared with other types of investment real estate, apartments are relatively simple to operate. Your responsibilities are clearly defined, and your tenant relationships are straightforward. This is a significant difference from leased investments such as offices and retail centers where finding tenants can be time-consuming and expensive and the nature of each tenancy can be very different.

Tax Benefits

Like other forms of investment real estate, you can write off all of your expenses with essentially no limit to reduce your taxable income. If you use the proceeds from selling your apartment to buy more investment real estate, you can also defer your capital gains and recapture taxes. You can also depreciate your apartment and write off a portion of its value every year, further reducing your tax liability. Unlike commercial real estate that has a 39-year life, apartments get depreciated over 27.5 years, giving you a larger write-off every year than with other property types.

Owning Apartment’s 

Owning apartments isn’t like having money in the bank. You can’t go to your apartment building and pull your money out whenever you want. Taking out equity through a cash-out refinance can take months and cost thousands of dollars in loan fees. Selling also takes months and could generate many thousands of dollars of commission costs. As such, if you aren’t sure that you want your money to stay invested, apartments might not be a good choice.


For many owners, the biggest problem with owning apartments is dealing with tenants. While some tenants are easy to manage, others aren’t. If you don’t have a property manager, you will have to meet prospective tenants to show them units and take calls from existing tenants when something in their unit breaks. Hiring a management company can mitigate some of these problems, but their charges will cut into your profits. In addition, while a management company can cut down on the headache of dealing with tenants, it can’t insulate you from the financial challenges of building repairs, unpaid rent and tenant turnovers.

Detroit Emerges From Bankruptcy Today

Click Here For No Upfront Fee Commercial Loans

The city of Detroit’s historic Chapter 9 bankruptcy will end Wednesday, Today setting in motion a sweeping plan to slash $7 billion in debt and reinvest $1.4 billion over 10 years to improve city services.

The Berkshire Hathaway chairman is bullish on the Motor City.

Investing in Detroit, he says, is an increasingly appealing proposition, and will be “much better after the bankruptcy than before.” In part, that’s because the city’s finances were clearly unsustainable before now, and no one wants to invest in a place that’s headed for Chapter 9. But Buffett added that the city is going to be “employing a lot more people five years from now or 10 years from now,” than it does today.

Now the need for alternative sources of capital in the Detroit commercial real estate industry has never been greater.

Winston Rowe & Associates is a capital source that provides flexible, reliable and timely solutions for owners of commercial real estate throughout Michigan.

Detroit Commercial Financing Solutions:

No Upfront or Advance Fees to Underwrite Your Transaction

Loan Amount Starting at $500,000. with no Upper Limit

All Commercial Property Types Considered

Fast Hard Money Bridge Loans

Conventional, CMBS and Private Capital

Whether it’s an initial purchase or a refinance they have the solution for you. Winston Rowe & Associates offers expert friendly service combined with years of experience and will work with clients to find the best solution that fits your needs.

When you call Winston Rowe & Associates, a principal is always available to speak with prospective clients.

They can be contacted at 248-246-2243, or check them out online at http://www.winstonrowe.com


Hard Money Small Business Loan No Upfront Fees

Hard Money 

Winston Rowe & Associates is a well established source for no upfront fee commercial loans with a focus on providing loan programs directly to small business owners who are unable to obtain traditional financing.

As a nationwide commercial financier, they understand small business lending needs and work hard to help their client’s leverage financing options to meet their short and long-term business goals.

Their typical loan programs range from $250,000 to $2,000,000.

Winston Rowe & Associates says “yes” when your local bank says “no.”

The reason? – They take a “common sense” approach to underwriting.

They’re able to make decisions on commercial real estate mortgages and business loans based on the borrower’s entire story, not just the numbers on paper.

Commercial Financing Solutions Include:

National Coverage

No Upfront Fees to Process Your Transaction

All Commercial Property Types Considered

Rental Home Portfolio Financing

Fast Hard Money Solutions

A key benchmark of Winston Rowe & Associates is they can provide a solution to clients within days, not weeks or months.

When you call Winston Rowe & Associates, a principal is ready to take your telephone call.

They can be reached at 248-246-2243 or check them out online at http://www.winstonrowe.com


Commercial Real Estate Loans – No Upfront Fees From Winston Rowe & Associates

Apartment Building Mortgage

Winston Rowe & Associates, a no upfront fee commercial real estate financier is offering some of the most competitive commercial real estate loans for the Detroit Metropolitan Market to meet the needs of its clients.

Winston Rowe & Associates is a capital source that provides flexible, reliable and timely solutions for owners of commercial real estate nationwide.

They quickly analyze and asses prospective clients transactions and provide immediate feedback within 24 hours.

Full Spectrum of Commercial Real Estate:

No Upfront or Advance Fees

All Commercial Property Types Considered

Single Family Portfolio Loans

Loan Amounts Starting at $500,000 with No Upper Limit

Purchase, Refinance and Cash Out

Conventional and Fast Hard Money Loans



10 Rental Markets Where Landlords Make A Killing

Private Money Lending

Stocks aren’t the only asset class with impressive returns. With the help of low homeownership rates and strong mobility demand, the rental market remains attractive for investors, especially in areas of the country experiencing double-digit returns.

According to a new report from RealtyTrac, a leading source for comprehensive housing data, rental property in the United States posted an average annual return of 9.06% in the third quarter. That is down slightly from 9.65% in the same year-ago quarter, but still represents a significant return for landlords.

Furthermore, median home prices rose more than 7% on average from a year earlier. The report analyzed median sales prices for residential properties and average fair market rents for three bedroom properties.

“The single family rental market is still strong, with returns averaging 9% in the 586 counties analyzed,” said Daren Blomquist, vice president at RealtyTrac, in a press statement. “Even so, the market is softening, with those same 586 counties averaging a nearly 10% return a year ago. In the high-risk, high-yield markets, where unemployment and vacancy rates are higher than national averages, the average return was a whopping 19%, actually up from a year ago thanks to a strong increase in rental rates.”

Let’s take a look at the top 10 rental markets where landlords are making a killing, using annual gross rental yields from RealtyTrac.

10. Hernando County, Florida

• Annual gross rental yield: 17.29%

• Vacancy Rate: 5.1%

9. Pasco County, Florida

• Annual gross rental yield: 17.30%

• Vacancy Rate: 8.9%

8. Columbia County, Florida

• Annual gross rental yield: 18.42%

• Vacancy Rate: 11.3%

7. Wayne County, Michigan

• Annual gross rental yield: 19.88%

• Vacancy Rate: 8.9%

6. Spalding County, Georgia

• Annual gross rental yield: 20.35%

• Vacancy Rate: 12.3%

5. Putnam County, Florida

• Annual gross rental yield: 22.63%

• Vacancy Rate: 6.3%

4. Howard County, Indiana

• Annual gross rental yield: 24%

• Vacancy Rate: 6.6%

3. Duplin County, North Carolina

• Annual gross rental yield: 24.4%

• Vacancy Rate: 8.8%

2. Clayton County, Georgia

• Annual gross rental yield: 26.88%

• Vacancy Rate: 16.9%

1. Edgecombe County, North Carolina

• Annual gross rental yield: 41.57%

• Vacancy Rate: 11.1%

Source: USA Today