Between 2006 and 2016 the US population grew roughly 23.7 million. During this time, renters increased by 23 million, and homeowners by less than 1 million.
The current US population is roughly 335 million people with a net gain of one person approximately every 15 seconds.
The national apartment occupancy rate is roughly 94%. This is despite the delivery of 494,000 newly constructed apartments by the end of 2023.
Multifamily investors have the opportunity to take advantage of depreciation and tax deductions, as well as 1031 Exchanges.
Acquire properties that deliver attractive risk-adjusted returns via the deployment of proven value-add strategies. These efforts will work to improve property operations and cash flow. The scope and length of rehab will vary by property and dictated by market conditions.
Low - Medium
Hold Period: 3-7 Years
IRR: 15-20%
Cash on Cash: 7-10%
Equity Multiple: 2-2.5x
Avg. Annual Return: 16-20%
The hold period will vary from 5 to 10+ years depending upon the asset’s performance, market conditions and the financing options available. feasibility studies of capital event potential will be reviewed annually by the principals.
Low
Hold Period: 5-10 Years
IRR: 13-17%
Cash on Cash: 6-9%
Equity Multiple: 1.5-2.5x
Avg. Annual Return: 14-18%
