Your Guide to Buying a Multi-Family Property in Huntington Beach

Known as one of the best places to surf in the country, Huntington beach has earned the nickname Surf City which gives you an idea of what to expect if you plan to move here.

The weather is excellent as it rarely rains in Southern California, so you can enjoy 300 days of sunshine every year. They say the city is perfect for families, so investing in a multi-family property in Huntington Beach may be a good idea if you are into real estate investing.

We share some tips that may prove helpful when you are planning to buy a multi-family home in Huntington Beach.

Prepare a bigger budget compared to residential homes.

Buying a multi-family property is more expensive than purchasing a single-family home. Down payments usually start at 20%, and you must factor maintenance and property management costs into your overall budget.

Knowing your financial situation and how much you are willing to invest in this project is crucial. 

Experienced real estate investors usually overestimate their budget since this type of investing has the potential to surprise you with unexpected expenses like repairs and maintenance work. 

Having an extra cushion in cash reserves prepares you once emergencies arise.

Choose the best type of multi-family property in the best location.

There are different types of multi-family properties like residential properties, apartment complexes, and turnkey projects. Once you’ve chosen the best type that fits your needs, you can now proceed to find the best location for your project.

Making a profit on your investment involves identifying the best locations for rentals.

Work With Your Lender and Get Pre-Approved

Having your trusted lender by your side can be a big help, especially if this is your first time in real estate investing. Getting pre-approved is also a good idea, as this will show sellers that you are a serious investor.

At Lux Funding, multi-family property investing is one of our specialties. Reach out to one of our loan officers to learn more about getting a loan for an income property.

Crunch the numbers to know if you will make money on the investment.

To make an informed decision, you need to do the math and determine if you will make money with the investment. Compute everything and see whether your potential income is higher than your costs.

Make an offer and close the deal.

Once you’ve determined your budget and are sure you’ll have potential earnings, you can make an offer on the multi-family unit and close the deal.

Closing day is when you pay for your down payment, complete all the paperwork, and get the keys to your new property.

Are you looking to finance your new multi-family home in Huntington Beach?

Lux Funding of Huntington Beach has experienced loan officers specializing in financing investments involving multi-family units in Huntington Beach.

If you are thinking about buying a multi-family home as an investment, give us a call or send us a message on our website so we can help you get started.

 


* Specific loan program availability and requirements may vary. Please get in touch with your mortgage advisor for more information.