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Updated about 6 years ago on . Most recent reply

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Riley Walz
  • Rental Property Investor
  • Chicago, IL
3
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6
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Single Family Homes vs Multi-Family Homes?

Riley Walz
  • Rental Property Investor
  • Chicago, IL
Posted

Was wondering what you guys' thoughts were on SFH or MFH.

which do you prefer? 

which comes with more or less head aches? 

which is more sustainable? 

which pushes you more toward financial freedom?

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Replied

SFHs have lower cash flow, higher expenses per tenant, 100% loss of income with vacancies, high cost per door due to market driven by home buyers. They are difficult to sell with a tenant in them meaning lost income during time it takes to sell. High risk.

Multi units are purpose built rental properties and will have higher cash flow per door. Market down turn has les effect on multi units. Value is based on income not whim of home buyers. Lower cost to aquire per door. Low risk.

Multi units are ideal for investors, SFHs are ideal for home buyers.

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