As you age and start thinking more about retiring in Florida, you may start looking for ways to generate a passive income that is going to help you maintain an enjoyable lifestyle. Many people nearing retirement in Florida decide to invest in multifamily properties later on in life, and many also find that doing so helps them live comfortably once they exit the workforce.
Per Quicken Loans, a multifamily property is any type of residence that serves as a home to more than one family, including condos, apartment buildings and duplexes. Should you decide to invest in one or more of these properties, you may find that doing so often leads to the following notable benefits.
1. Reliable income
Owning a multifamily property helps you generate income, and it may help you substantially lower your own costs of living. When you take out a mortgage on a multifamily property, you are not the only one paying back the loan. Instead, everyone who rents space inside your building helps you do so.
Owning a multifamily property often helps you build wealth over time. Real estate is one of the most reliable investment options out there, and when tenants are paying you rent each month, they help add to your property’s equity.
3. Tax perks
Investing in real estate also offers certain tax benefits. Many related expenses, such as property taxes and mortgage interest, are tax—deducible, leading to notable savings, come tax time.
These are just some of the many benefits that often come with investing in a multifamily property. By doing your due diligence and covering your bases, you may find that investing in a multifamily property helps you live the lifestyle you always wanted.