Single family vs multi- family

[Antony Charlier]

Are multi-family rentals better than single family and do the same rules apply to both of them?

[Connor Ryan]

Hi Antony, It really depends on the market you are investing in. I personally find that Small Multi Family Properties (2-4 units) are one of the best investments out there. You can get conventional and fha financing putting down as low as 3% if you live in one of the units and rent out the others. Also, small multi's have a better chance at cash-flowing with the collective rents from all of the units. If you are in a market that is affordable, you may be able to get started investing by either house hacking (Living in one unit and renting the others) or buying as a investment property (20% down). Some markets are very expensive at the moment and a single family home may be more affordable for you to get started. You may also find that the single family is in an area that has a ton of opportunity to appreciate, thus making it more attractive than the multi. There are pro's and con's of each, but I personally believe that small multi's are one of the best investments out there.