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Invest in the Future, Invest in Airbnb Properties!

As the economic world and its markets shift to make room for newer contenders, investors need to keep an eye out for any better investment opportunities that might come along with these new market players.

Traditional Investors who only wish to play it safe and invest in traditionally profitable markets and companies have suffered the most in these unprecedented times of a pandemic. The businesses that were guaranteed to deliver the highest profits have failed to even stay in business and those that did manage to keep afloat have taken a huge hit to their profit margins. These atrocities that the times have brought onto us are not only to fight through but also to learn from. It is time to re-think what we have needed to do differently all along.
Almost all sectors of investment have been taken aback during these times, which is just as one would expect, but it is those extra ordinarily innovative ones that did not sink despite of their very predictable failure. 

Comparatively, newer investment options might not sound very promising to a traditional investor but imagine if Apple’s initial investors had lacked the foresight for what the future could bring and had rejected the investment opportunity without having realized how big of an opportunity they were passing up on. They would have lost billions!

Market players like Airbnb properties that have built themselves up from some mere start up seed money represent how money, if put in place, can make the biggest difference.

Airbnb being one of the most high profile companies to ever emerge out of start-up accelerator, is one of the few companies that every smart investor has their eyes on in 2020. To build up a brand name as established and well reputed as Airbnb has, it must have taken the utmost perseverance and an innovative bone. Those are the qualities that it takes to build up a business empire out of a small amount of seed money.   

The YC tells the founders of its companies to prepare for the hardest in the few initial years to build up the company. Those are the years that define any company, set it apart from those who do not make it. If a company pulls through these years successfully, it becomes rather immune to failing in the near future. And as profitable and successful as Airbnb has gotten in this decade, we can only see an even brighter future ahead.
Airbnb is the definition of a globally successful company with having over 7 million listings spread across 22 million countries.

Especially In a time like the present, where companies, globally, have been hit hard because of the economic demise that this pandemic has brought upon the international business community. One might find it very normal for a company that generates its revenues mostly via travelers to suffer or fail completely. But Airbnb has outsmarted something as unpredictable as a pandemic and has managed to keep generating profits by adapting to these restrictions.
According to the Wall Street Journal, Airbnb shifted to local travel just in time and so perfectly that they received just as many bookings by the start of July as they did before the pandemic. We would call that the equivalent of pulling a rabbit out of a hat in the business world.

Airbnb was expected to be one of the companies that would most definitely endure big losses because of this pandemic, but because of its innovative founders it managed to keep in business, and that is part of the reason Airbnb’s IPO is being called the most anticipated public debut of any YC company in 2020, coming up at the end of this year.
Any investors looking to invest in the stock market can see this as possibly the best investment opportunity to come along all year. And it would make the perfect investment opportunity for those investors who wish to take a leap and invest in the future.

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Why you Should Invest in Multifamily Properties?

Are you a first time investor looking for a secure and guaranteed way of making a real estate investment? Then multifamily properties might be the most appropriate form of investment for you.

When it comes to making investments in property and real estate, every investor might have a different outlook. Some might prefer distributing their investment among different property units to not put all of their eggs into one basket, but others might not have the same approach.
There are a ton of benefits that come with investing in properties like multifamily houses where all your wealth is tied together.

Any property that has more than one unit is considered a multifamily property. The smallest units are duplexes, which are called two family homes in different parts of the U.S. Then triplexes and four-plexes with three and four units in each property.  

Most rental multifamily properties are financed by banks just as single family homes usually are. The most popular way of making such an investment is by acquiring ownership of the multi-unit property where the owner resides in one of the units and rents out the rest of the units to tenants. This is an easy way to secure your investment. This kind of setting can be financially benefitting and help lower the interest rates and even lower down payment in certain cases.

It also saves a lot on the cost of property management fees as you will easily be able to self-manage the property instead of lending the job to another party, which would cost you heavily in the name of managing your property, which usually rounds up to hundreds of dollars each month.
This also saves a lot of inconvenience for the owner whenever there is a need to visit the property as there is usually a rental home. The owner can monitor and maintain the property along with their own residence without any extra cost or hassle.
The owner has the liberty to choose the tenants’ demographics for his multifamily property considering whichever kind of family or people would be easier for the owner to manage.

As these properties grow in scale, they begin to fall in the category of “commercial real estate.” Any property with five or more units falls in this category and qualifies for a more expensive kind of financing. This is because the property on a scale that large does not strictly qualify for a residential property.

Profit margins and complexities grow as the scale of the property units grows, and each kind of investment attracts different kinds of investors. From two family properties to high-rise apartment buildings, the opportunities are endless.

One of the many benefits of investing in a multifamily property is the steady cash flow it generates each month. Especially in strong markets where it is relatively easier to re-lease the property to the owner after another, to keep the income flowing consistently. Setting rent rates is also easier as they are mostly quite predictable. This helps the investor generate a dependable and safe amount of income throughout the year with the minimum amount of risks and expenses.

The current economic downturn caused by this pandemic has made investors rethink their investment strategies. Those who had invested in properties that were deemed “non-essential” because of this pandemic have suffered a great loss. However, housing is a basic necessity that can never lose its value no matter how badly hit every other business sector might be, which makes a multifamily property investment the safest kind of investment in real estate investment.

The upcoming government has every investor conscious about the change in tax rates, and no one is sure as to which parties will be benefited from the new expected taxation standards. In multifamily homes, there is a great tax advantage. Like most investors, you can use a mortgage to finance the property. Because of asset depreciation, a sizable amount of income coming from rent can be balanced each year, making this class of asset one of great profitability.

There are tons of more benefits to Invest in Multifamily properties, and we are here to guide you along the way, feel free to contact us for a consultation.    

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The Experts in Real Estate Analysis

Proper amount of homework can differentiate between failing and succeeding in any market, especially in one like real estate where new players enter the market every day, shifting the competitive landscape and threatening those who are oblivious to the new developments occurring in the field.
This is why real estate analysis is one of the most important parts of managing any investor’s property. It helps you keep up with the market’s ever-changing conditions and lets you prepare well in advance for your future investment needs. It can help you adjust your strategies just in time with that of your competitors’ so you don’t lose your profit to them.
Real estate Analysis is also important to keep the investor fresh on research and knowledge to keep moving forward at all times. Because once an investor’s profits start to stand stagnant at a level, he might get stuck, and before too long, the profit margins might start to fall drastically.

All these circumstances should be in an investor’s mind plenty of time before they rise to the surface. A proactive approach is the only approach that has been proven to work in this regard. At the Republic Investment Group, the first step we take before making any investment on behalf of our clients is to conduct a proper in-depth analysis of their investment options and interests.
Our years of experience working with multiple clients in every sort of complex market have always given us an upper hand over the problems any of our partners come to face while making or managing their investment. Having worked in different market conditions, we are prepared to advise our partners against any ups and downs that the time or the economy might bring upon them and their investments.

Before you even choose the kind of property you want to invest in, we will present you with all the reasons you should invest and all the reasons that you should not. We will explain to you using our expertise what kind of investment would be ideal for the kind of investor you are and what kind of return you are looking for to come out of your investment.

Every experienced real estate investor understands that the time when one purchases the property is the actual time to make money, the physical profit would come along in the future when it is time to sell the property but making the right decisions and doing the accurate analysis at the time of purchase will determine how much of a profit you will be making when it is time to sell. That is because an ordinary realtor or estate agent might have you believe that if you market the property properly at the time of sale, you can rake in any amount of profit, you have to use the right tools needed to make the property attractive to the buyers. But it is actually virtually impossible to gain a substantial profit on a property that you purchase for an unreasonably high price. An overpriced property will bring in little to no profit, no matter how much effort you put into making a sale. It is rather easier to add value to the property after purchasing for a reasonable and fair price and then selling it for a big profit margin. The property does not need to be in perfect condition when you purchase it, all that matters is that it is priced right. Instead of paying extra for the property at the time of purchase, you should instead buy a property for a lower price and invest that extra money you saved on the property’s price to renovate or remodel it according to what the market demands in that particular time.

With our specialized training to work with investors of all kinds and properties of different sizes and scales, the Republic Investment Group will give you a complete picture of every factor involved in making and managing your investment. We regularly review real estate market performance reports from the most authentic sources and keep an abundant amount of information on each real estate market throughout your state.

So, contact us today, and we will ensure that you gain the most profitable return on the investment you wish to make!