When comparing returns on investments with a hold period of 3 years or more, apartments perform better than any other class of real estate.
Home Ownership is Declining
The level of home ownership continues to decline in the United States. People are becoming more likely to rent than own.
Rents Continue to Rise
While area specific, overall rents have risen steadily and are expected to continue rising as the demand for rentals increases.
Vacancy Rates Continue to Drop
On a national level, vacancy rates have dropped over the last decade. This helps drive stability into investments through an increase in net operating income.
Less Volatility Than Stocks & Bonds
Historical data shows significantly fewer down years in real estate compared to both stocks and bonds making real estate less volatile.
Multifamily apartment investments have significant tax advantages for investors through depreciation, deferral of capital gains through a properly structured 1031 exchange and the ability to invest through the use of self directed IRA's or 401k's.