Investing in Multifamily Rental Properties
Why Invest in Multifamily Rental Properties?
Johannesburg and the surrounding area is currently one of the hottest real estate markets in the SA. This means that more people than ever are investing in rental properties. Buy and hold is an investment strategy where an investor will hold onto a property for a period of time. While they may sell the property down the line, it is usually rented out for income. It is important to have a plan going into buying an investment property and we can help with this. We will use a calculator to help you figure out the potential income and expenses for a rental property.
Sproud goal is to become a leading apartment acquisition specialists, Multifamily offers investment opportunities to partner with us in the purchase of apartment complexes.
Sproud acquires mostly B & C class, value-add assets in cash flowing markets across the Johannesburg in order to provide a strong return to our investors.
Our investment approach is uniquely durable through cycles. By targeting 3rd quartile (25th-50th percentile) earners, and converting unused spaces to bedrooms, we build in a significant margin of safety while simultaneously creating immediate value in the asset.
Financing Your Project
When investing in rental properties, you can use the same types of funding as fix and flip properties. This includes hard money, which is structured a little differently. After buying property, there is a minimum waiting period before refinancing the loan for the new appraised amount. This can vary based on the lender and program type. We can help you connect with our preferred hard money lender, Intrust Funding.
Adding Value to the Property
Sproud’s mission for multifamily apartments in promising areas in order to provide otherwise unobtainable real estate investments with reduced risk to our clients. Our business model takes advantage of the opportunities to increase returns by bringing new capital to eliminate deferred maintenance and bring creative, modernized touches to the property; providing better management and collections; negotiating better vendor contracts; and ultimately, improving the overall environment of the living area for our tenants.
Managing the Property
Our proven relationships with best in class conveyancers, property inspectors, lenders, real estate attorneys, 3rd party management, and general contractors enable us to reduce risk and create exceptional results for our investors.
We focus on maximizing Net Operating Income (NOI) while creating a quality lifestyle for our residents at each community.
Ready when you are
Message us if you have any questions or inquiries. We would be happy to answer your questions and set up a meeting with you. Also, subscribe to get updates on our latest investment opportunities.