http://www.REIClub.com - Duplex Investments May Be Better Than Single Family Homes. Here's What Real Estate Investors Need To Know About Investing in Duplexes... Hi, this is Frank Chen with REIClub.com, the only site you need as a real estate investor. Today I've got a quick video on duplexes Duplex Investment vs. House Investment - Which is better, buying a duplex or buying a house? - Are you currently renting a house, living in an apartment, condo, duplex? - How much are you paying in rent? The reason I ask is because duplexes offer great opportunities for first time home-buyer to get involved in real estate, especially if you don't have a lot of money. There are scenarios where you can invest in more expensive duplex, versus a home, and actually pay less on the duplex than the home's mortgage. Pros of Investing in Duplexes - Live in one area and rent out the other(s) - Duplexes are significantly more affordable than single family homes (depending on area) - Usually easier to make the mortgage payment because you are getting more rent per unit vs. a home - Equity appreciation - Rent Increases - Usually have lower insurance cost - Deduct mortgage interest and taxes from income tax liability - Additional Tax benefits - insurance on rental side, depreciation of half the cost of the building - Feel of a home, bigger than an apartment - Owner occupants - able to keep a close eye on your investment - Back-up - Rent to family or relatives - Biggest benefits - use the income and equity to invest in your first residential home Cons of Investing in Duplexes - Owner occupant - sharing the property - Owner occupant - may turn off potential tenants - dont want to live by landlord - Common rental issues - collecting rent, maintenance, etc... - Only the rental side is tax deductible - Odd hour repair requests - friendly neighbor policy - Yard maintenance - Stigma - duplex rentals seem to be less desirable than homes - Type of tenants you acquire may be less desirable - May be Harder to sell Investing in Duplexes for either an owner occupant or an investor will come with some of the same responsibilities as buying a house... yard work, maintenance, and repairs. But it's also a great way to get started as a homeowner and in real estate investing. If your current living situation is in an apartment building, you probably will feel like you're getting MORE privacy by moving into a duplex, while if you're moving from a single family house you may feel that you're giving up more. Again, this is Frank Chen with REIClub.com. Please take the time to leave your comments for this video below and please subscribe to our YouTube channel so you'll be automatically notified when we upload more quick video tips for you. Take care and good investing. http://www.youtube.com/watch?v=3NwzwuEy8HI

• published: 06 Sep 2012
• views: 20941