What does multi-family mean when you're talking about a real estate property?
Now, multifamily has been the greatest investment I've ever made
in my real estate portfolio. But what does multifamily actually mean?
Hey there, my name is Mike Fritz. I'm the founder of Titanium Capital Investments and
the creator of the multi-family CEO system. My greatest passion is to help people just like you
invest in multi-family real estate. I've been doing this for 20 years. My first property I invested in,
I was 19 years old and I love multi-family real estate. In this video, I'm gonna walk you
through the 3 things you need to know to understand multifamily more fully. We'll
talk about the difference of single-family homes and multi-family, we'll talk about the difference
between transactional and passive investments. But stick around to the end because I've got a
free gift I want to give you to help you start investing in multi-family real estate. The first
tip is understanding the difference between single family and multi-family. A single-family
home is one house that has not been broken up into multiple units. It may have multiple entrances but
it's one single dwelling. A multi-family, it may be one building but it has divider walls that create
multiple units underneath that roof and different families or multiple families live
in each one of those units. So, a single-family, one family under one roof. A multiple-family,
multiple houses or units or apartments under one roof so a multiple-family just means you have more
than one tenant living in that place paying you rent every single month. So, now that you know what
multi-family is, why would you want to invest in multi-family real estate? Well, the first reason is
multi-family real estate is transactional. Money comes in every single month. I love
income that comes in every single month whether I'm working on it or not. It allows you the ability
to scale your time, make more money and not have to work for that money every single month.
Now, multi-family is passive revenue and that's different than transactional revenue. Transactional
revenue means you're not making money unless you make a transaction. If you're fixing and flipping
homes, when you sell that home, you make money. When you're wholesaling homes, when you sell that home,
you make money. If you're selling your own personal home, when you sell that home, you may make money.
But that's transactional real estate. Passive real estate means every single month those tenants are
paying you to live in that location and you are not necessarily working for that money. You may
have a property management team that's covering that, you may be managing it yourself but either
way, that money's coming in whether anything breaks or everything breaks. Multi-family real estate
gives you the ability to have multiple streams of revenue from one single property, that's one
of the reasons I love multi-family real estate and I think you should too. Now, the next thing I want
you to know is multi-family real estate comes in all sizes. You can literally get a duplex, meaning
2 units under one roof or you can get all the way up to 3, 4, 500 over a thousand
units in one specific community. So, multi-family has a variety of sizes. Well, this is good news
for you because maybe you wanna dip the toe in multi-family but you don't wanna buy a property
that has 100 tenants just yet. So, you could dip your toe in the water and just buy a 2 unit
or a duplex and start getting multiple streams of revenue from one purchase of property right away.
Or maybe you're like, "No, I want to scale up a little faster." Great! Then buy a 4 unit
or an 8 unit or a 10 unit, buy a little bit bigger. But the power of that is you don't have
to. Multi-family real estate comes in all shapes and sizes and you can start investing not only
at your comfort level, but at your financial level. You may not have the capital to get into a 50-unit
building yet you may have the capital to get into a duplex. And even if you don't have the capital to
get into a duplex, make sure you follow our videos on this channel on how to raise private capital.
But I want to make sure you know you don't have to buy the biggest building. A lot of people think
of multi-family as apartment buildings when multifamily can be one duplex down the street
from you and which could be paying you every single month. Now, my first multi-family property,
I was 19 years old. I was just about to be married and I had no money. I went to my mom and dad and
said, "Hey mom and dad, would you help me get a loan so that I can actually get a piece of real estate?"
They helped me get a loan. Now, at that time I was a builder. I was building houses and I was working
as a builder. So, they helped me get a loan and I built a duplex from the ground up and I lived in
half, I rented the other half out it's called house hacking. The power of that is my wife and I moved
into a brand new duplex for 100 dollars a month when we first got married because we didn't
have any money, that was a great thing for us. See, multi-family comes in all sizes. You can build them,
you can buy them, you can buy 2 units, you can buy 20 units, you can build 2 units, you can build 20
units. Multi-family is so versatile. When I first started, I knew nothing. I had to learn it as I go
and that's my passion with this channel is to help transfer that knowledge I've learned over
the years to you to help you create generational wealth by investing in multi-family real estate.
It's changed my life. I want it to change yours too. Now, I have a free gift for you. I've taken
all my 20 years of knowledge and kind of boiled it down in our e-book, The 7 Steps To Investing
in Multi-family Real Estate." In the description, click that link and snag your free copy.