Duplexes offer many advantages for investors, especially if you’re just getting started on your real estate investment journey. Duplexes are multi-family properties with two separate housing units that share walls, have a single roof, one yard, and often only one parking area. Because you’re purchasing two residences, it is twice as vital that you practice the same due diligence required of any real estate purchase. If this is your initial investment, your portfolio depends upon selecting a great duplex within your budget.
Even if a bit of sweat equity is involved in bringing the property up to its highest potential, you want to find the lowest-priced property that meets your base criteria in the best location possible. Unfortunately, while you can make repairs and rehabilitate a property, you cannot pick up the land and relocate to a better neighborhood. Read on as we explore what you need to know about investing in duplexes in NY.
Less Cost Per Unit
By investing in duplexes in NY, your savings triple; initially, you’re only paying the costs to close one property at the time of the purchase. And secondly, because the units share many features, such as walls, you’re paying less per unit than if they were single-family homes. And finally, when reviewing the costs to maintain the property, these shared features add significant savings. For example, instead of sending crews of roofers to two addresses and paying two bills, with one service call, you’ll only pay for a single repair for a shared roof covering two units.
You need to know about your financing options when you’re investing in duplexes in NY. Mortgages for duplexes are available through conventional loans or, for some buyers, FHA programs. However, you could be eligible for a Fannie Mae loan offered through the government’s FHA program if you decide to occupy one unit. Additionally, you can finance a duplex in NY if you qualify for a VA loan and occupy one side.
Another thing you need to know about investing in duplexes in NY, they offer a fantastic opportunity for real estate investors to build their income quickly; with the purchase of one property, you gain two cash flow streams. Then, as time passes and your equity increases, so too will the rent; you’ll begin to earn even more profits. But, of course, you should always consult a tax professional before making such a significant investment and understand the write-offs you qualify for, as well as depreciation.
In addition, as an advantage of investing in duplexes in NY, you could take up residence on one side to save living expenses, known as house hacking. If you’re new to wearing the hat of a landlord, this is a great way to gain hands-on experience. Additionally, you may realize tax advantages by living in the unit. If the hat of a landlord doesn’t sit well with you, let the management team at Prestige Home Buyers help you with as much or as little of the job as you like. Then, when you’re ready to retire and begin to earn truly passive income, the team at Prestige Home Buyers can manage your properties your way.
Vacancies can be detrimental to the bottom line; it is helpful to know when investing in duplexes in NY that the odds of both units being vacant are extremely low. Rarely do tenants from separate units vacate at the same time.
Growing your real estate portfolio equates to building security for your retirement, knowing that you’ll have a reliable income stream and the ability to live out your golden years in the driver’s seat. When you purchase a duplex, you increase the number of units in your portfolio and increase the cash flow from your real estate investment business twofold, and this is a great thing to know about investing in duplexes in NY.
The professional investors at Prestige Home Buyers will guide you step by step through what you need to know about investing in duplexes in NY. The experienced investors at Prestige Home Buyers know the NY market and can help you run the numbers, ensuring the best returns on your investment dollar. Our passion is helping you achieve the dreams you have for your real estate portfolio as an investor. From locating the best duplexes available to clean-up, repairs, and full rehabilitation, Prestige Home Buyers has built a team of the most highly sought-after pros from every walk of the real estate industry.
Why not let our full-service team at Prestige Home Buyers jump into action to help you fulfill the goals of your investment strategy, keeping you on top of current market trends and helping you with any necessary adjustments to your investment plans. And don’t forget to ask about our current inventory of the best duplexes available in NY. Contact Prestige Home Buyers today at (631) 336-9166.