Tall apartment buildingsForbes Magazine, among the most reliable and leading global financial news sources, forecasts the surge in the multifamily housing and real estate business in the United States; a trend which started in 2014. This upswing has come about because of the increasing need for more affordable apartments. Forbes writer and contributor Bill Conerly noted that the global market would observe the upward trend in the multifamily real estate until 2020. The vibrant housing market is partly due to the increasing population of single individuals aged 20 to 34, who opt to rent or buy affordable apartments and condominium units.

The development of multifamily housing units is further boosted by the US Department of Housing and Urban Development (HUD). Thus, many financial institutions offer HUD multifamily financing schemes and programs, making apartment developments and condominium a very wise business investment.

The advantages of investing in multifamily housing include the following:

Lower cost with lesser manpower requirement

Having many housing units in one building would lessen your capital and investment requirements. Compared to having 12 single-detached houses, managing a 12-unit apartment building would require only one property manager, less building personnel, and fewer expenses on maintenance.

Easier to rent out and more profitable

Multifamily housing is also easier to promote and lease, as there are many families and working individuals who are cutting down on home expenses and allowances and would rather opt for a lower-cost, lower-maintenance housing setup. Your property would be even easier to rent out of you include common areas and amenities for your tenants to enjoy in the overall design, as well. It is, therefore, easier to earn with multifamily housing, as you can collect on affordable rentals from many families.

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Privilege to claim tax incentives

Investments in housing facilities are very welcome in the United States, as the government thinks that these are a robust stimulator of the economy. Due to this, the government grants many tax breaks for real estate investors.

With the financing scheme and loans offered by many banking institutions and the support of the US HUD Department, there is no doubt that multifamily real estate businesses are a worthwhile investment.