1. Multifamily is one of the most stable, high performing assets.
It consistently outperforms the stock market with far less volatility and, is considerably safer than investing in single-family homes.
Fact- During the great recession in 2008, single-family loan delinquencies peaked at 4% while multifamily loans hovered around .4%. That 90% lower.
Why? When times are tough people downsize, they may lose their home but they always need a place to live. Apartment living is the solution.
And, most young people can’t afford the down payment to buy a house so they choose apartment living.
2. Huge tax benefits
The depreciation of the property is passed through to our investors and offers considerable tax savings thereby lowering your tax bill. Because… ultimately it’s not how much you make, is how much you keep that matters!
There are all different types of accounts that are eligible, individuals, joint accounts, tenancy in common, entity accounts (Trusts, Limited Liability Companies, Limited Partnerships, C Corporations, S Corporations), and individual retirement accounts.
Yes, you can invest with most IRA’s. We can assist you in how to do this. If you currently have a self-directed IRA, please check with your current custodian to ensure that they will allow you to place your investment with 1 Vision Capital LLC.
With a company 401K, you have to verify that they will allow you to create a self-directed 401K and that the funds are transferrable. If you need a referral we will be happy to refer you to some great companies we use.
I’ve heard about accredited investors and sophisticated investors. What’s the difference? Which am I?
An accredited investor is someone with a net worth or a joint net worth, with a spouse of at least $1,000,000.00 (excluding their primary residence).
Or, a person that earns at least $200,000, 2 years in a row or more, or joint income of $300,000 and an expected income of approximately the same for the following year.
A Sophisticated Investor doesn’t meet the requirements of an Accredited Investor but they have investor experience. They are defined as those investors with sufficient knowledge and experience in financial and business matters to make them capable of evaluating the merits and risks of the prospective investment.
No. We have investment opportunities that are open to both accredited and sophisticated investors. But you will need to register with us in order to see those opportunities.
Distributions are paid out quarterly to all investors.
Investor funds are used for the total acquisition cost of the property. This includes but is not limited to the down payment for the actual purchase of the property, acquisition fees, legal and transaction costs, capital improvements, and reserves.
We look for properties in areas that have growth opportunities that are undervalued allowing for value add options. This means the property is in need of renovation or has been mismanaged allowing us to bring in our team of professionals to renovate and upgrade the property and bring rents up to standard for that area.
We then bring in our top tier management team to help streamline and bring management costs down.
Of course, this is a very streamlined version of our criteria which actually consists of a 24 point checklist in order to meet our high standards, making the purchase of the correct property a solid high yield investment opportunity.
Our team of experts have over 50 years of combined experience in real estate, assuring a safe and secure investment.
As a partner in the LLC that purchases the properties, you will receive a K-1. A K-1 is a tax form used by partnerships to provide investors with detailed information on their share of a partnership’s taxable income. Partnerships are generally not subject to federal or state income tax but instead issued a K-1 to report his or her share of the partnership’s income, gains, losses, deductions, and credits. The K-1s are provided to investors on an annual basis.
Absolutely! We encourage our Investors to visit the property before investing as well as during the life of the project. Just communicate with us in advance and we will make sure someone is there to meet with you, assist you in touring the property and answer any questions you may have.