Multifamily investment differs greatly from investing in a single family or in condominiums. The obvious advantage is that it allows you to generate multiple revenue streams while generating a constant appreciation of value. Instead of buying a single unit that you can rent, you'll buy an entire house or apartment building. You can choose to live in one of the units and use your income stream from rental units to reduce or even eliminate your housing costs.
Instead of buying the property in your name, you can create a company that will retain ownership. With that in mind, forming an LLC can help you manage rental income and taxes. Creating an LLC for your rental property business can help you in the long run, especially if you own multiple investment properties. Owning multifamily properties can be a small or large business, depending on the number of rental units the property contains.
Properties with a high FAR limit may be worth more, but they can also lower the value of neighboring properties if any extension blocks their views. Down payment requirements also differ for conventional loans for investment properties (such as multifamily properties where you don't live). Indeed, because condominium buildings, apartment complexes, duplexes and other multifamily properties offer the option of renting multiple rental properties and accumulating additional appreciation in value over time, there are many advantages to recognize from successful multifamily investment activities.