Single Family Homes Is Where You Need To Be!

Copyright: bplanet / 123RF Stock Photo

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Ever since the crash of ’08 more and more people have started shying away from the stock market and they started flooding into real estate.

The biggest issue has been where to invest. Is it in Commercial? How about Residential? Single Family? Multi-Family?

We’re here to make the case for Single Family Residential Properties, also known as SFR.

While Commercial and Multi-Family properties have their place in investing they also come with the risk of making sure you’re buying at the right time and understand fully what you’re getting into. In a down market  Commercial and Multi-Family properties become much harder to move because in a down market investors are the majority of buyers. Since investors are the majority of the buyer pool you will take a large hit since they tend to know their numbers.

SFR also follow trends with the slight exception that they are much easier to move. SFR can be sold at any time to anyone looking for a house using an array of different strategies.

The best parts of owning SFR as a rental are:

  • Growing Cash-flow
  • Value Appreciation
  • Tax Depreciation
  • People will always need a roof over their heads
  • Multiple exit strategies
  • Recession Proof

The last one makes people as the question “how” when the housing market got hit so hard in 2008. The housing bubble of ’08 was the subprime mortgage bubble. This was caused by the banks giving loans to people that couldn’t afford them. As far as the investors that lost money, these were mostly flippers and builders that got too comfortable with the “always rising” housing market.

We never advise you ever do flipping unless you are a savvy investor.

By buying SFR to hold as an income producing rental, you limit your risk when the market turns.

Did you know that in down markets rents tend to go up?

This tends to happen because most people are scared of falling real estate prices, the weak economy, they can’t afford one due to job loss, or get a loan for a house because banks are not lending. Their only option for people is to rent causing natural price increases.

So, if rents tend to go up in up and down economies, home values continue to increase over time, and they provide multiple ways of selling why wouldn’t you get into SFR?!

The biggest reason most people don’t invest in real estate is because they simply can’t. They understand what we just covered above but they have one or all of the following problems;

  1. Not enough money for a deposit or to buy outright
  2. Bad credit
  3. Living in a bad market
  4. Lack of real estate knowledge
  5. Don’t have the time to dedicate to the purchase, rehab, and/or management of the home.

At PRYME Homes, we saw this being a very big issue for many people. We saw people trying to get in and lose so much money because they trusted the wrong agent, contractor, investor, etc.

So we asked ourselves how can people get into real estate investing just as easy as getting into the stock market?Copyright: <a href='https://www.123rf.com/profile_bplanet'>bplanet / 123RF Stock Photo</a>

Now, we know there are REITs and Mutual Funds you could use to invest in real estate. the problem is that you’re investing in the company, not the asset. Nothing is stopping the company, as we saw in 2008, from paying themselves and then going bankrupt when things get tough.

So, we didn’t see that as a solution but we did come up with one.

What if you were able to buy shares into an already cash-flowing property which was completely rehabbed? What if you knew exactly what your returns were going to be before you invested? What if once you bought into it you were done putting in money? What if you weren’t liable for any repairs for as long as you hold the asset? And what if, you can have all of this for as low as $1000?!

PRYME Homes delivers precisely that!

Now, one thing we hear most often is “this is too good to be true”. We get it. But, it is 100% true!

We buy houses that are in appreciating neighborhoods, rent them to the RIGHT tenant and manage everything moving forward including repairs and tenant turnovers. Once you buy as many shares as you want you are completely done! You now sit back and collect your checks.

If you would like to find out more please contact us at hello@prymehomes.com or call 210-529-8193

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