Tag: Steven Taylor

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Steven Taylor – Moving to Los Angeles? Here’s What You Need to Know

Steven Taylor and the family in Los Angeles
Steven Taylor and the family in Los Angeles

If you’re thinking of moving to Los Angeles, you probably have a lot of questions. Los Angeles is clearly a popular place to live – 3.9 million people currently choose to live in the LA area. But, is it right for you? Before you make any move, you should do some market research. It is important to understand the culture, lifestyle, real estate, and other aspects of a city prior to making a jump. In this article Steven Taylor, Los Angeles Native and real estate professional, answers some of the most common questions people ask him when first moving to Los Angeles.

Who will I meet in Los Angeles?

One of the most beautiful things about Los Angeles is its diversity. LA has always been known as a melting pot, and for good reason. The city has great cultural, ethnic, and experiential diversity. Moving to Los Angeles can expand your horizons – according to the 2019 US census, Southern California residents hail from 180 different countries, and 59.1% of people speak a language other than English. With a population of 3,979,537, LA is home to many different cultures. The city is currently 49% Hispanic, 29% White, 8% Black, and 12% Asian. This diversity contributes to Los Angeles’ epic cultural, art, and food scenes!

In Los Angeles, you will meet people with passion. A large portion of LA residents are transplants, who moved to the west coast to pursue their goals. Everyone has their own reasons for coming to LA, but it has always been a home for big dreamers. Whether you’re an entrepreneur or hoping to become a star, you will meet like-minded people in Los Angeles.

What do people do for work in Los Angeles?

Los Angeles is a land full of opportunities. Whether you are looking for a more traditional work lifestyle, hope to work from home, or are pursuing seasonal or gig work in the entertainment industry, there is work for you in LA.

When people think of LA, many of them first think of the entertainment industry. While it’s true that many Angelenos are employed in the world of film and television, some of the most common jobs in LA outside of Hollywood are retail, real estate, tourism, healthcare, and education.

While many people still work 9-6 type office jobs in Los Angeles, a large portion of the population works on flexible schedules. Jobs in entertainment, fashion, hospitality, and other industries provide the opportunity to make your own hours or work an atypical schedule. Los Angeles native, Steven Taylor, says this means you’ll find more people out and about exploring the city during typical weekday “working hours”.

Is the traffic really that bad in Los Angeles?

This quick answer is – yes. Unfortunately, sitting in traffic is part of the reality of living in Los Angeles. How bad is the traffic? That depends on where you are coming from, where you are going, and at what time. While Los Angeles does have public transportation, most people still commute by car. The COVID-19 pandemic has decreased traffic as more people are working from home, but the problem is not completely solved.

There are wonderful rewards that come with living in Los Angeles, so traffic is an annoyance many people are willing to put up with to live here. The best thing you can do is avoid driving on the major highways at peak hours, and take public transportation when you can! No one likes traffic, but Los Angeles native, Stephen Taylor, says it’s worth it to experience all that Los Angeles has to offer its residents.

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Steven Taylor Taylor Equities on 3 Different Ways of Investing in Apartment Complexes

Steven Taylor Taylor Equities on 3 Different Ways to Invest in Apartment Complexes
Steven Taylor Taylor Equities on 3 Different Ways of Investing in Apartment Complexes

Investing in multi-family units can be a fantastic way to add to your portfolio and earn passive income.  According to Steven Taylor Taylor Equities, there are many different ways to invest in apartment complexes. The strategy you use will depend on your desired level of involvement, your available capital, and other factors.

Here are 4 different ways of investing in apartment complexes:

1. Purchase units yourself.

The first way of investing in apartment complexes is the most simple – buy the building yourself. This would require extensive upfront capital. For many, this method might sound impossible. You would need to do extensive research and the responsibility of the deal would fall on you alone. In order to purchase multi-family units on your own, you would need to first save the proper amount of funds, and come up with a clear picture of your budget. Research the market and examine different deals. You may choose to take out a loan. This method requires you to later find property management and other decisions in regards to handling the property.

Purchasing on your own requires more work, but also has many benefits. As the sole owner, you get to choose your investment strategy, how you would like to run your property, and when you would like to sell.

2. Purchase with a partner. 

For many new real estate investors, it is easier to purchase for the first time with a partner. If you don’t have all of the funds you need to get started, partnering up with someone you trust can be a great way to pool capital. Another advantage of buying with a partner is that you can learn and grow in your strategy together. Having someone to discuss a deal with can be valuable. 

The negative aspect of purchasing with a partner is that you will not get to make decisions on your own. For this reason, I only recommend going into business with a partner if you are someone who can handle compromise. Before you get in too deep, make sure you are on the same page about your strategy, vision for the building, and what you are hoping to achieve. Document everything, and get anything important in writing. Working with the right partner can be a rewarding experience, but communication is key.

3. Purchase by Syndication

A syndication is a group pool of funds used to purchase a property, usually run by one person (the syndicator). In this case, the syndicator, or general partner, is running the investment. As an investor, or limited partner, you would be joining in to purchase a small stake of the property. Usually, general partners make decisions, run the property, and follow their own strategy. As a limited partner, you are a passive investor. But, you still collect a share of the profit when the property is sold. This option can be a good way to invest in apartment complexes without spending a lot of time or getting extensively involved.

There are many other ways to invest in apartment complexes, but these three options are some of the most common ways to get started. If you’re interested in learning more about how to invest in multi-family real estate, consult a professional or mentor like Steven Taylor Taylor Equities.

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What Is Commercial Real Estate? – Steven Taylor, Taylor Equities

Apartment Steven Taylor Taylor Equities
Steven Taylor, Taylor Equities – “What Is Commercial Real Estate? “

If you’re interested in buying into the real estate industry, it is important to start with the basics of buying and selling property. This includes topics you may find boring, such as classifications and zoning restrictions. Even if you have no intention of owning a strip mall or office building, you should have a full understanding of the industry, including commercial real estate. 

Commercial Real Estate (CRE) a property type and zoning restriction. There are three basic property types – residential, industrial, and commercial. While there are more than three forms of zoning, most properties in a highly populated area will fall under commercial or residential. Today we are going to focus on commercial real estate as a property type.

Commercial Real Estate is defined as “any property owned to produce income.” Obviously, a lot can fall under that umbrella. Here are a few examples:

  • Convenience stores
  • Apartment complexes
  • Office Buildings
  • Car Washes
  • Malls
  • Restaurants
  • Theatres
  • Gas stations
  • Theme parks
  • Hotels

CRE properties can be broken down into several categories. Here are three common categories to invest in:

Office Property

CRE office properties can include anything from small buildings for professional use by a single tenant to skyscrapers full of offices. These properties are classified by categories A, B, and C.

Class A: These buildings are at the top of the food chain. Class A properties are often new but could include older buildings if they have been renovated extensively. They are generally in great locations and are managed professionally.

Class B: These properties are highly sought out by investors due to their potential for a high ROI. Class B buildings are often older, but able to be renovated and improved. Infrastructure often requires investment, but in general Class B buildings are well-taken care of and well-managed.

Class C: If you invest in Class C, know that the buildings will most likely be older, in a bad location, and need major renovations to infrastructure. These properties often have lower occupancies due to the office space’s lower quality. Class C buildings can remain vacant for longer periods of time and often are used for redevelopment.

Retail and Restaurant Property

Retail and restaurant properties can either be stand-alone buildings or a larger structure encompassing multiple businesses, such as a strip mall or office building. Real estate investors are usually drawn to properties that can encompass many businesses and tenants. These properties often include malls and other large retail centers, because with multiple occupants, there is less risk. Strip centers, community retail centers, power centers, and regional malls are a few types of property you may want to research if you are interested in investing in this category.

Multi-family Units

While many people think of apartments, like those owned by Taylor Equities, as a residential property, any apartment building that is a fourplex or larger can be considered commercial real estate when investing.  Apartment buildings, extensive complexes, condominiums, and even smaller multi-family buildings all fall under the category of commercial real estate. This type of property can offer less stability long-term but is always in demand and offers high returns. Multi-family real estate is personally my favorite type of investment, and a topic worthy of extensive research. Check out my blog for insights into the multi-family real estate market, and to learn why I choose to invest in apartment buildings as part of my commercial real estate strategy. –Steven Taylor, Taylor Equities

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Steven Taylor of Taylor Equities on Understanding Real Estate Investing

Steven Taylor of Taylor Equities with his wife Natalie
Steven Taylor of Taylor Equities with his wife Natalie

While it is technically possible to profit from a deal without thoroughly understanding real estate investing, those stories are often the exception to the rule. If you want to succeed at building wealth through real estate, it is vital that you do your research and build your knowledge of the industry first. Real estate investing can be a very profitable business, but only if you have a solid understanding of the market and do your diligence before purchasing properties.

Steven Taylor of Taylor Equities has compiled a checklist below of a few aspects of real estate that everyone should have a solid understanding of before entering the business. If any of these concepts seem foreign to you, you should consult with a mentor or expert before investing.

Learn how to evaluate potential properties.

The most important aspect of understanding real estate investing is knowing how to evaluate a property you are considering investing in. Before you enter the real estate industry, take the time to study evaluation techniques for acquiring buildings. As you build your investments, it will be important that you only add assets that contribute to the big-picture of your portfolio. There are many resources that can teach you how to inspect properties, research potential areas, consider neighborhoods, and integrate comparative market analyses with your plan. Ultimately, you will want to determine a property’s profit potential before buying in.

Understand the many ways in which you can profit.

Before investing in real estate, you should be aware of the different types of cash flow that come with real estate investing. The most common way to profit from a real estate investment is known as flipping – owners fix up investment properties and then sell them at a higher price. But, there other factors to consider when looking at cash-flow, such as your annual income, taxes, tenants, and vacancies. To understand real estate investing, you must understand the plethora of ways that your cash flow could be affected.

Be aware of the reality of leverage.

For many new investors, purchasing a property without a down payment can sound very appealing. But, this real estate investment strategy can come with many risks. When an investor doesn’t have enough capital available to purchase a property outright, they may borrow money to acquire the asset. In some instances, investors can utilize financing as leverage in order to purchase a unit or building. It is extremely important that investors have a solid understanding of the risks that come with using leverage before taking on any debt.

Understand the many types of mortgages available.

To have a full understanding of real estate investing, you must understand the many different types of mortgages available. By taking the time to research the variety of mortgages on the market and the pro’s and con’s of each, you can secure your investment from the beginning. Take the time to shop for the best mortgage with the interest rates that will benefit you the most. Always be careful with mortgage deals that sound too good to be true – if there is zero down, and adjustable rate, or a deal that just sounds unrealistic, take a second look. There should never be a rush to invest in real estate. Take your time, and consider all of your options carefully.

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Steven Taylor of Taylor Equities – The role of a Real Estate Private Equity Firm

Steven Taylor Taylor Equities
Steven Taylor of Taylor Equities

According to Steven Taylor of Taylor, Equities a real estate private equity firm raises capital from investors. These investors are called Limited Partners. They then use the capital to obtain and develop real estate properties.  The firm can also be involved in operating, improving, and reselling the properties in order to see a return. Firms use an active management strategy and take a diversified approach to owning properties.

There are many different types of outside investors or Limited Partners. A few examples are insurance firms, high-net-worth individuals, pension funds, family offices, and endowments.

Real estate private equity firms most commonly focus on commercial properties such as offices, retail, industrial, multifamily, and other properties, although it is possible for a REPE firm to purchase residential buildings.

Who can participate in private equity real estate?

If you’re interested in getting involved in private equity, there are a few things to consider. Your ability to take part in investing in private equity real estate will be determined by the amount of money you have available to invest. A traditional private-equity fund requires partners to invest a minimum of $250,000. In general, firm managers prefer institutions and individuals who can contribute above $25 million in a long-term investment collective in combination with other investors. 

Individuals who are interested in getting involved in real estate private equity should examine their options of firms, and further their options of funds within that firm.

How do you examine a private equity fund’s investment structure?

To take part in most private equity funds, you must pay a number of fees for management and performance. Many REPE funds include annual fees in order to pay for legal services, data costs, firm salaries, deal sourcing, research, marketing, and other variable and fixed costs. If you are considering getting involved in private equity real estate, it is essential that you understand these fees before investing.

Most REPE managers also collect “carry.” A “carry” is a fee based on performance that is typically 20% of excess gross profits of the fund. 

Individuals should also examine what would happen in the case that they fail to meet a capital call. In some cases, a fund may force and individual or institution to default and forfeit their ownership shares.

What types of strategy does private equity real estate employ?

In PERE, there are a few main strategy types:

  1. Core PERE strategy: Core strategy is generally the most conservative strategy. This method sometimes only includes properties that offer low risk and therefore lower potential returns. These types of properties usually exist in popular and high traffic locations. Core strategy may focus on high-value properties that don’t require much development or upkeep.
  2. Core-plus strategy: Core plus strategy requires more of a gamble, but can also offer a higher ROI than a core method strategy. These properties usually require more modest amounts of upgrades and improvements.
  3. Value added strategy: Value added is a moderate risk method with a medium-to-high-return. This approach is more focused on property development and working the market. Managers often purchase properties, redevelopment them for improvement, and then resell at the right time with added value.
  4. Opportunistic strategy: An opportunistic strategy returns the highest amount but assumes the most risk. Managers usually purchase properties that involve undeveloped land, or properties that are in markets with low traffic that typically don’t perform well. – Steven Taylor, Taylor Equities
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Steven Taylor of Taylor Equities – Red Flags to Look Out for When Buying Commercial Real Estate

Steven Taylor of Taylor Equities Commercial Property picture

All real estate investment comes with risk, but commercial real estate in particular requires that liquid assets be readily available. As an investor, it is essential that you are careful about the properties you invest in – you don’t want all of your capital tied up in a building with a high risk of failure. If you are diligent about research and observant in your showings, you can pick up on red flags that could keep you from getting involved in a bad deal.

But how do you know when a commercial property is a major risk? If you look out for these warning signs, you can avoid signing a deal for a property that won’t serve your goals.

Red Flags to Look Out for When Buying Commercial Real Estate

The neighborhood is going down hill

It can sometimes be difficult to tell the difference between an area that is on it’s way up and one that is going downhill. Low value can be an opportunity to get in before prices skyrocket. But this only works if the surrounding area is growing steadily, experiencing job growth, and bringing in new people.

If a neighborhood is on the decline, with businesses closing and residents moving out, think twice. The best way to assess the status of an area is to spend time in the neighborhood and talk to local business owners and residents directly. While the goal is to acquire a commercial property in a booming area, accidentally purchasing a building in a declining part of town can be a major loss.

The property needs major repairs to be usable

It is common for real estate investors to purchase properties that need fixing up or redevelopment. There is a difference between adding value to a property by improving its appearance or conditions and needing a complete overhaul. Some repairs will be more expensive than you imagined and could take your deal south. Take the time to research what repairs or improvements will cost you before you purchase a money pit.

            Here are just a few signs I look out for:

  1. Low ceilings: Many users of commercial spaces require high ceilings for their business to function. It is essential that you ensure your ceilings fits the needs of those you are hoping to rent it to, without major construction.
  2. Damaged roof: Repairing the roof of a commercial building is much more costly than a single-family home. Be on the look-out for leaks or damage.
  3. Cracks and settling: Walk through the interior and exterior of a commercial property to check for cracks or signs of settling in the walls or floor. If you find a large crack, it could be a flag for a larger issue.
  4. Environmental contamination: If you are purchasing a property in an industrial area, there is always a chance that you will find contamination. Environmental contamination can affect your property and cost you. Watch out for chemicals and items that are stored improperly and may be damaging to the living conditions.

The numbers don’t add up

You can’t always accept the value the seller tells you to be the truth. Evaluating a commercial property requires a lot of research and appraisal beyond the physical conditions. Assess financial projections. You don’t want to purchase a commercial property where rental vacancies are projected to increase in the coming years. Look at any documents such as loss/profit statements that you can get your hands on. Never trust the seller’s estimates.

As with any investment, purchasing commercial real estate is a gamble. While risk is always going to be part of buying a property, the goal is to acquire a profitable building. If you know what red flags to look out for when buying a commercial property, you can save significant energy, time, and money. – Steven Taylor of Taylor Equities

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What Makes Rental Properties a Good Investment

Rental Properties are good investments for landlords

If you’re looking at investment opportunities, you have a lot of options. You’re probably looking for an investment that will provide you with return as well as security. Real estate is one of the oldest and most popular classes of assets. Most people know that real estate can create passive income and be a great long-term investment when the value increases. But there are many other less commonly considered factors that make rental properties a solid investment.

1. You can shop around for a great deal.

If you’re similar to me, and love a good deal, you will likely enjoy property investing. As a buyer, you can shop around, you can haggle, and you can wait for the right moment to purchase below market value. Not only does finding a property that you can attain below value set you up for a good investment, it is also exciting. Getting a great deal can mean building wealth and building it quickly.

2.  You can purchase rental properties with leverage.

One bonus to buying a rental property is that you can borrow from the bank, or someone else, for the purchase. You therefore increase your potential for return. This principle is often referred to as leverage. Basically, even if you don’t have the entire purchase price for the property at your disposal, you may still be able to buy it. In comparison to stocks or other investments, you can purchase a larger investment for much less cash up front.

3. You can manage your rental property investment personally.

If you like to be in control and have a hands-on approach with your investments, you’ll enjoy running a rental property. As a property owner, you can be directly responsible for the success of your investment. If you are dedicated, and do your research properly, you can personally analyze before buying, ensure good renting conditions, and keep the place running efficiently. There will always be some risk, but unlike other investment types, you can manage everything hands on with less external conflicts and outside opinions. Unless you want those opinions – again, it’s your call.

4. It’s a business that isn’t going anywhere.

While the real estate market in general has its ups and downs, rental properties will always be in demand. People will always need to live somewhere, and there will always be individuals and families that choose to rent instead of own. As the economy changes and mortgages become increasingly difficult to qualify for, the demand for rentals will only increase., so being a landlord is something that will always be needed.

5. Knowledge is power.

In many industries “insider trading” or using secret information to know when to make a deal, is looked down upon or downright illegal. But when you invest in rental properties, you can leverage any insider information to your advantage, and not only is it legal, it’s considered strategy. Do your research, always pay attention to what’s happening in your region, and listen closely to the market. Is better transportation improving in an area? Is there a new school opening up? Businesses shutting down? In the rental property industry, you can take matters into your own hands. Not only can you buy at a good time, you can choose to exit in the face of a market decline – if you know early enough.

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What a First Time Landlord Needs to Know

What a First Time Landlord Needs to Know - Steven Taylor

Being a landlord can be a profitable and rewarding experience. As a landlord, you can build your wealth, utilize second properties you may already own, and run your own business. But, managing a property also requires extensive time and effort. Regardless if you are just leasing an extra property to a friend or family member, or running an entire apartment complex on your own, you need to be prepared. If you’re a first time landlord, take the time to thoroughly research the industry and you will be set up for success.

Here are five tips that first time landlords should keep in mind before renting out a property.

1. Examine your rental price range.

If you’re like most first time landlords, you’ve likely invested substantially into your property. You are also likely going to be dependent on the income the rent generates monthly in order to keep up with the mortgage. While your instinct may be to raise rents to increase your profits, you must first consider the rental market of your region. If you live in a popular area, you may be facing strong competition. As a first time landlord, you’ll want to ensure that your building is enticing to potential renters, while also keeping your expenses in mind.

2. Set clear expectations with tenants.

This may sound obvious, but you must make collecting rent on time a priority. Your property is your business, and without your primary source of revenue – rent – it will fail.  Be clear about your expectations when your tenants move in so there isn’t any confusion on policy. Let your residents know the rental due date, as well as how many days the grace period is for payments that are late. If rent is paid beyond the grace period, it is important to enforce penalty payments. Be sure to screen all potential tenants before they move in. By checking their rental history, asking for references from past landlords, and running their credit, you can help ensure that you rent your units to responsible residents.

3. Prepare yourself for vacancies.

If you have loss-of-income insurance, you may be protected from vacancies during a disaster or other external damage to your property.  But if you have vacant units simply due to low demand or high rents, you’ll be out of luck. Always have money saved that can be used to pay the mortgage on your property during times without tenants. If this is a frequent issue, it may be time to consider lowering the rent.

4. Become a master at record-keeping.

Owning a rental property can be helpful when tax season comes around. But to enjoy the tax benefits that come with being a landlord, you will need to have detailed expense records in order to defend your write-offs. These records will benefit you in other arenas as well – when you know where your money is going, you can accurately assess how your business is doing. Keeping detailed records of the conditions of your property, including damages, alterations, and other changing wear and tear, will help you in the long run. The key is to create good record-keeping systems, whether you track expenses and notes on your own, or use and online tracking program.

5. As a First Time Landlord, get help when you need it.

If you are overwhelmed by the work required to be a landlord, you may want to consider hiring a property manager. A property manager can take many responsibilities off your plate. Many first time landlords hire a property manager as they grow their portfolio and begin renting multiple properties. You should consider the cut to your profits, but also consider the time and energy you will save. If you can afford a property manager, you may be able to focus your time on other streams of income or expanding. – Steven Taylor, Landlord in Los Angeles

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Having a Work Life Balance Increases Productivity

Steven-Taylor-landlord-with-his-family-at-the-walk-to-end-alzheimers

Importance of Work-Life Balance

In modern western society, driven individuals wear productivity as a badge of honor. Have you ever caught yourself humbly bragging about how little you’ve slept, how many hours you’ve worked, or how packed your calendars is? As the value we put on performance continues to rise, employees are spending increasing amounts of time in the office. While you may think you are plunging toward your goals, studies show that overworked employees are less efficient. Longer working hours reflect increased stress levels and distractions. Neglecting to nurture a healthy work-life balance can actually be detrimental to your success.

Most of us equate ambition and hard work with productivity. Many entrepreneurs feel shame for taking time off to rest. But one of the key components to a productive mindset is allowing the body to refuel. You achieve more during work hours when you take effective time off to connect with family, relax the mind, and handle personal matters away from the office.

Stop Always Being Available

Somewhere along the line, entrepreneurs became associated with always being on the clock. This expectation that we must always be available is counteracting genuine productivity. It is necessary to explore methods and create schedules that allow us to have focused time during business hours, and truly disconnect from the job when we leave the office. As someone who runs your own business, it can feel impossible. But finding solutions that balance our lives at home and at work can pay back in dividends. 

“People who feel they have good work-life balance work 21% harder than those who don’t,” according to a survey from the Corporate Executive Board, representing 80% of Fortune 500 companies. So how do you create a schedule that increases your happiness, and therefore your productivity?

Clock Out When You Clock Out

Most of us no longer function on a typical 9-5 schedule. Nearly half of full-time American workers log more than 50 hours per week, and 20% work more than 60 hours, according to a Gallup poll. While you may not have an actual time clock, it is essential to set boundaries and specify working hours.

When we don’t create a separation between our working and personal lives, we multitask. When we multitask, our work is never truly getting our undivided attention, and our personal lives aren’t either. If you don’t give yourselves hours off the clock to handle personal matters, those tasks ultimately will need to be completed when you should be focused on work.

Create Space for Personal Matters

According to 2017 Office Pulse study, professionals are increasingly conducting personal activities at the office. “88% go online for personal needs, 78% go shopping, 72% run errands, and 57% of Americans use part of their workday to plan their next vacation.” Yet most of those people are still answering emails and taking work calls at home. Make a conscious effort to disconnect from work at a specific time of day. This will allow you to handle personal errands tasks, spend time with family, and maintain a social life, without hindering the productivity of your business.

If you’re like me, the amount of quality time I spend with my family is congruent to my happiness. Studies show that happier employees are more productive. If we want to live lives that are equally fulfilled as they are efficient, we must put as much focus on keeping personal and family time sacred as we put on achieving our next goal.

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3 Uncertain Conditions that Impact a Landlord and Apartment Building Investments

Landlord Steven Taylor, Taylor Equities Apartment Photo
Landlord Steven Taylor, Taylor Equities Apartment Photo

Multi-family properties can be a great investment. But, if you’re considering being a landlord and investing in an apartment building, it is essential to first evaluate the local market. Some influences are fixed, but multi-family real estate is affected by many changing circumstances. These factors can evolve over time. Responsible investors need to be aware of the changing conditions that can impact their properties. Before buying an apartment building, build and understanding of the uncertain factors that can affect your investments.

Shifting Demographics

A changing population can significantly affect your investment. If you are a landlord, depending on income from renters, an increase or decrease in a population can easily influence your success. Age, income level, race, and gender can all be relevant factors to the profit of your investment. If an area is growing, the demand will grow as well and you are likely to see higher occupancy rates. If a circumstance or trend causes the population to migrate away from your building’s area, your property could sit vacantly. It is notably important to consider the factors that affect an area’s demographics before investing in a property.

Fluctuating Job Markets

The economic conditions of an area play a large role in decision making for multifamily investing. The health of the economy in an area will impact the demand for rental properties. If new jobs are created in a region, people will consequentially move to the area to fill those positions. Many new employees would often rather rent from a convenient and local multi-family property than buy their own home and commute to work.

A downturn in the economy can also affect a landlord’s apartment housing investment. When unemployment rises, homeowners often look for more affordable places to live, and many switch to renting an apartment. When the job market fluctuates, your investment could as well.

Landlord Changes in Access

It may seem obvious, but it is essential to pay close attention to the geographic location of your investment. In an era of climate change, our world is ever-changing, and the physical location is playing a more significant role than ever in housing choices. Renters want to live in a location with good weather, safe conditions, and access to the things they need. Before becoming a landlord and investing, look at the history of properties in the area. Have they been affected by any natural disasters? Do they experience an influx of population during certain seasons? Is the area becoming more or less convenient? Locations all have their strengths and weaknesses that will affect your real estate investment. Don’t skimp on the research. When purchasing a multi-family building, consider all the factors to make sure you are in the right place.

Steven Taylor, Taylor Equities properties

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