When it comes to investment real estate, one question is always at the forefront of the conversation: “Should I buy a single or multifamily home?” As specialists in multifamily investing in The Maricopa County, we firmly believe in the superiority of multifamily real estate. 

The Advantages of Multifamily Properties Investment Real estate

More Money in Your Pocket:

Imagine you have a piggy bank. Now, instead of having one piggy bank, you have many. Each one of them is putting coins in your pocket every month. That’s what it’s like to own a multifamily home. Even if one of your homes is empty (no tenant), others are still filled with people who are paying rent.

Cheaper to Look After:

Let’s say you have four dogs, but they all live in different houses. It would take a lot of time and gas to drive to each house to feed them, right? But what if they all lived in one big house? You’d only have to drive to one place. It’s the same with multifamily homes. Having all your rental units in one place makes it cheaper and easier to look after them.

Less Risky:

Imagine you’re walking on a tightrope. If you only walk on one rope and it breaks, you fall. But if you have many ropes under your feet and one break, you won’t fall because the other ropes are still there to support you. It’s the same with multifamily homes. If you lose one tenant, others are still there to pay rent.

Faster to Grow Your Savings:

With a multifamily home, you can add more units to your rental business quicker. It’s like planting a whole garden of money trees instead of just one. Each tree (or unit) grows money (or income) for you. More trees mean more money.

Easier to Get Loans:

Banks like to lend money for things that make money. So, if you want to borrow money from the bank to buy a multifamily home, they might say yes quicker because they can see how you will pay them back with the rent money you’ll get from your tenants.

You Become More Experienced Faster:

With a multifamily home, you’ll learn how to be a great landlord quicker because you’ll have more tenants and situations to handle. It’s like learning to ride a bike with training wheels before you ride a big bike. You’ll make mistakes, but you’ll also learn a lot.

You Can Live in One of the Units:

If you buy a multifamily home, you can choose to live in one unit and rent out the others. That way, you’re not only making money, but you also have a place to live. It’s like having your cake and eating it too!

These are just a few reasons why buying a multifamily home can help you reach your goal of retiring early. So, if you’re considering becoming a landlord, consider starting with a multifamily home!

Is It Good to Own Multiple Properties?

Owning multiple properties can be a good way to spread risk. However, it also spreads your time and resources thin. That’s why many people turn to the multifamily investing model. It allows you to focus your efforts and resources in one place, making management more manageable and efficient.

How Much to Invest in Multifamily?

Deciding how much to invest in multifamily depends on your personal goals and financial situation. A seasoned Multifamily Investing Company can help you assess your situation and find the right property.

Remember, investing in multifamily real estate doesn’t have to mean investing in a huge apartment building. Smaller buildings with just a few units can be a great starting point, such as a duplex.

How to invest in multifamily properties in a simple way:

1. Savings: Just like how you save up your allowance to buy something big you want, you need to save money to invest in multifamily properties. This could be money from your job, a business, or other investments.
2. Join a Team: Investing in multifamily properties can be like a group project at school. You don’t have to do it alone! You can join with other people who also want to invest. This team is sometimes called a real estate investment group. They can help you find good properties and manage them.
3. Find a Good Property: This step is like going on a treasure hunt. You and your team look for a multifamily home that you can buy. You want one in a good neighborhood where people want to live, so you’ll always have tenants.
4. Hire a Property Manager: Do you have chores at home, like cleaning your room or taking out the trash? Running a multifamily property also comes with chores, like fixing things that break and collecting rent. But you can hire a property manager to do these tasks. They’re like the captain of a ship. They make sure everything runs smoothly.
5. Sit Back and Relax: Once you’ve done all these steps, you get to watch the money come in from the rent your tenants pay. This is the “passive” part of the investment. It’s like having a lemonade stand where you just sit back and watch people buy your lemonade.
6. Reinvest Your Earnings: When you’ve saved up enough money from the rent you collected, you can buy another multifamily property and repeat the process. This is like leveling up in a video game.

Final Thoughts

So, should you consider buying multi family properties? Absolutely. Multifamily real estate offers stable income, lower risk, and economies of scale that single-family homes just can’t match. Whether you’re hoping to retire early or looking for a way to build wealth, multifamily investing may be the best option for you.

Take the first step on your journey with us and watch your investment grow into fruition, your trusted multifamily investment real estate company in the Greater Phoenix Area. Contact us today to learn more about how we can help you achieve your financial goals. CLICK HERE

The home buying process can take time and involve quite a few steps. Finding the perfect property, from size to location to price range, is one major milestone. And once that’s done, initiating a home inspection is quite possibly the most important next step for every buyer.

A home inspection, an expense of about $350 to $700 handled by the buyer, is conducted by a professional who evaluates the integrity of the home — from its structure to its HVAC system to its roof, electrical, plumbing and beyond from a visual perspective. Potential problems lurking under the surface can be costly down the road if a buyer goes in blind, which is why a home inspection is so valuable. 

That said, home inspectors evaluate a home visually. They don’t have the ability to examine the foundation, for example, unless it is exposed. And they rely on other issues that may indicate a bigger problem with a system or structure that is unseen, such as uneven floors or walls. 

Often, when issues are flagged during a home inspection, it leads to a negotiation between the seller and the buyer regarding either a remedy for the problem before the close, a credit to the buyer in lieu of the repair, and/or an adjustment to the sale price. The home inspection is an added layer of information for the buyer, complementing the seller’s disclosure statement, which details any other past or present problems or issues with the home that the seller is aware of and that would be material to a buyer’s decision to purchase.

Buyers preparing for or reviewing the results of a home inspection should probably hone in on a few key components. 

Foundation + Roof. The foundation of a home is critical to its integrity, which is why an assessment of it is vital when considering a purchase. That said, it is common for foundations to settle and crack, but significant cracks should raise a red flag with a home inspector and a potential buyer. When it comes to the roof, lifespans can stretch to 25 years and beyond, but a home inspection should identify if any shingles are damaged or missing and if any leaks are present. 

HVAC + Ventilation. Air movement, coupled with heating and cooling, is essential for a comfortable and safe living environment. Home inspections should include an analysis of the property’s HVAC system, the condition of the cooling and heating units, a chimney check if needed and an assessment of the system’s air filters. Replacement of units can be costly, so a thorough evaluation of the state of the HVAC system is essential. 

Moisture + Water Damage. Checking for water damage, moisture or mold is also an important part of the home inspection process. Basements, bathrooms, kitchens and laundry rooms should be evaluated for water stains and evidence of leaks. Cabinetry near plumbing should also be looked at to see if there is any evidence of exposure to excessive moisture or leaks.

Landscape + Outdoor space. The most important part of an inspection of landscaping, beyond understanding the work that it may entail to maintain or update the property’s current landscaping, is evaluating the drainage of water from the structure. Improperly graded landscaping will allow water to pool in places it shouldn’t, so ensuring proper drainage away from the home is critically important. 

If you’re considering a home purchase or sale, the team at Vergara Real Estate powered by HomeSmart are ready to help. We keep an eye on market trends so you don’t have to. Moving or investing in real estate is an exciting time of transition, and we’re ready to help you with it. Contact us today so we can learn more about how we can support your needs.

Typical home values eclipsed $350,000 for the first time ever as healthy demand from buyers continues to collide with reluctant sellers, according to the latest Zillow Market Report.

The June Zillow Home Value Index for Phoenix was $448,032, a month-over-month increase of 1% and a monthly mortgage payment of $2,307 with 20% down. That monthly mortgage payment is a 112.2 % increase over 2019.

“Home buyers have persisted this spring despite daunting affordability challenges and record-low inventory,” said Jeff Tucker, senior economist at Zillow. “Demand typically begins to ease in the summer, and there are signs that competition is waning, but large price declines are unlikely until more homeowners list their homes for sale.”

The typical U.S. home value climbed 1.4% from May to June, continuing a four-month hot streak. The new peak of $350,213 is almost 1% higher than last June and barely edges out the previous Zillow Home Value Index record set in July 2022. 

From hot spots to soft spots: Local home value trends: Affordability remains the key to market strength, as lower-priced metro areas posted the largest monthly gains; Chicago, Buffalo, New Orleans and Hartford all notched 2.1% monthly growth, with Detroit close behind at 2%. Those markets all have typical home values lower than the national average.

As in May, home values rose from the previous month in all 50 of the largest metro areas. The slowest monthly growth was in Austin (0.4%), followed by Jacksonville, Memphis, San Antonio and Birmingham, which all saw 0.8% increases.

Drought of new listings intensifies: The flow of new homes for sale ticked up 2.4% month over month, but the annual deficit deepened, now standing at 28% fewer listings than a year ago. June is usually one of the best months for fresh inventory, but this year only 376,500 new listings arrived on the market. That’s closer to levels seen in the slower months of February and October than to average new listings in June (505,100), according to Zillow data reaching back to 2018.

A lack of new listings has dogged the housing market for nearly a year, and higher mortgage rates remain the chief suspect. Rates at 6.8% this week (the highest since November, up from 5.1% a year ago and 3% two years ago) make it especially costly for homeowners — most of whom have a mortgage well below today’s rates — to borrow for their next home purchase. 

Another explanation could be that homeowners are holding out for higher prices. Home values have steadily increased since January in much of the country, but remain below peaks reached last summer in many markets. 

“It could be that some homeowners have been waiting until prices set new highs in their market before opting to cash in their chips,” Tucker said. 

The total pool of existing homes for sale is lower than any June since at least 2018. It’s down 10% from last year and a tremendous 45% below June 2019. 

Drop-off in demand means less competition for buyers: Potential buyers could see some slight relief on the horizon, as a few metrics indicate demand and competition are cooling. Sales measured by newly pending listings dipped almost 5% from May to June, following seasonal trends seen in 2022 and before the pandemic, when accepted offers crested in May. 

Listings also lasted longer in June, 11 days before the typical listing went pending, compared to 10 in May. But that’s still a much faster market than in 2019, when listings went pending in 21 days. 

Rent growth is back to normal: Zillow’s latest monthly rent report shows rent growth is back to pre-pandemic norms for this time of year, about 0.6% per month. San Diego overtook San Francisco as the third-most-expensive place to rent. 

Are You Ready to Capitalize on the Hot Glendale Housing Market?

If you’re a homeowner in Glendale, Arizona, and have been considering selling your property, now might be the perfect time. With home values on the rise and a shortage of listings, there’s potential for you to make a significant profit on your investment.

Our team of experienced real estate professionals in Glendale is here to assist you every step of the way. Whether you’re looking to upgrade, downsize, or simply explore your options, we can provide expert guidance tailored to your needs.

Don’t Miss Out on this Opportunity! Contact Us Today: CLICK HERE —> YES I WANT MORE INFORMATION!

📞 623-219-6014 📧 JV@VergaraRealEstate.com 🌐 VergaraRealEstate.com

Let’s turn your property into a valuable asset in this dynamic market. Get in touch with us now to schedule a consultation and learn how we can help you achieve your real estate goals in Glendale, Arizona.

Jose Vergara With The Vergara Real Estate Group, Powered by HomeSmart

Building stronger, safer and more sustainable homes has never been more important. That’s why Tempe-based HercuTech, the manufacturer of the environmentally-friendly wall building system HercuWall®, partnered with developer Harvard Investments to build the most luxurious and sustainable single-family home community at FirstStreet at the Ballpark Village (located at 2755 S Estrella Pkwy, Goodyear, AZ 85338).“

We are incredibly proud to bring our HercuWall system to Goodyear,” said HercuTech CEO Jason Rhees. “It has been a game changer for developers working in the build-to-rent and multifamily space and we know this product will be a tremendous asset for the City of Goodyear, along with its residents who are looking for a superior luxury product that also has up to15% energy cost savings and 15% carbon emission savings annually.” 

Located within walking distance of the Goodyear Ballpark entertainment complex, and just off I-10 on Estrella Parkway, the 25-acre community will feature 251 single-level luxury homes with five floor plans, featuring one to three bedrooms. Offering a modern and open floor plan, the residences will include ten-foot ceilings, a kitchen island, high-end appliances, a covered porch, doggie doors, and private back yards. With ample room for a work-from-home lifestyle, these advanced residences will also employ smart technology throughout, including alarm and keyless entry, video doorbell, and the Enhanced Living Package backed by HercuWall® technology. The innovative HercuWall system provides a built-in quieter, healthier home environment. 

“FirstStreet is dedicated to best practices in building and thinking beyond the norm” said Robert Trujillo, VP at Harvard FirstStreet “which is why we were so excited to partner with HercuWall and their team on this project!”

HercuWall® panels are prefabricated walls made of EPS (expanded polystyrene) foam, reinforced with a patented steel HercuStrip™, laminated with a weather-resistant barrier, and followed by site integrated concrete. Independent testing has shown the walls are three times stronger than traditional wood framing, fire-resistant, disaster-resistant, and deter mold, moisture, and insects. HercuWall is a more energy-efficient and sustainable building solution over traditional lumber. Studies show that 100 HercuWall homes would save 68 metric tons of carbon dioxide each year, equivalent to the annual energy consumption of 8 homes.

This will be HercuTech’s first community in Goodyear and its 12th community in Arizona (with 1500 more units set to debut in Arizona in 2023 alone) to use their eco-friendly building system. The general contractor for the project is Urban Metro Builders and the HercuWall installer is SD Framing, part of REI Construction. HercuTech announced construction has already started and their HercuWall® installations are scheduled to go up at a record pace with the SD Framing crew completing 10 structures per week, finishing the HercuWall installs in early Fall. 

 The community will also feature a 4,000-square foot clubhouse featuring a fitness and yoga center, community kitchen and bar area, “Zoom” room, and featuring modern and upscale finishes. The resort-style pool provides three lap lanes, a water feature, and an additional spa pool. Residents will also enjoy bocce ball courts and a cornhole area, ramada, grill, fire pit, and outdoor TV. Community outdoor living spaces include five parks and open areas throughout, along with a fenced dog park.

Residents are steps away from the excitement of Spring Training with the Cincinnati Reds and Cleveland Guardians with close proximity to the Goodyear Recreation Campus, which opened in 2021. Surrounded by dining, entertainment, medical facilities, quality schools, and the nearby Phoenix Goodyear Airport, FirstStreet Ballpark Village provides an ideal location for anyone looking for easy, engaged living in the Southwest Valley, all while living in a better-built community. 

The community is located at 2755 S Estrella Pkwy, Goodyear, AZ 85338. For more information on FirstStreet at the Ballpark Village visit —-> HERE or call 623-219-6014

In today’s competitive real estate market, selling a home requires more than a “FOR SALE” sign on the front lawn. Homebuyers are increasingly drawn to properties that offer modern conveniences, captivating aesthetics, and unique design elements. To help maximize the potential value of your home when designing the space and optimizing the ability to sell, homeowners should consider exploring three key areas: technology integration, innovative lighting fixtures, and the creative use of materials.

Utilizing Technology:

Embracing the latest advancements in technology can significantly enhance your home’s appeal. With a multitude of hi-tech appliances flooding the market, it’s crucial to identify the ones that will truly stand the test of time. Consider incorporating automated window treatments and sliding doors, offering seamless indoor-outdoor transitions. Streamline your home’s functionality with light switches and plugs that all lead into one centralized area. Charging stations discreetly integrated throughout the house ensure that unsightly cords remain out of sight, catering to the needs of tech-savvy buyers.

Lighting Fixtures: 

When it comes to setting the right ambiance, lighting fixtures play a pivotal role. While large chandeliers can serve as stunning focal points, it’s important to compliment them with additional lighting sources. Recessed lighting, pendant or wall sconces, and even LED strips along countertops can transform the mood of a room. LED lighting, in particular, opens up a world of possibilities. Not only does it allow homeowners to control color temperature and brightness, but it also proves to be cost-effective and long-lasting—a win-win investment in both aesthetics and energy efficiency.

Choosing the Right Materials: 

Materials have the power to make or break the visual impact of your home. Breaking away from traditional choices like white subway tiles and hardwood floors, designers are now experimenting with combinations of wood, metal, and stone to create striking contrasts. Imagine a kitchen with a natural stone countertop and a sleek metal backsplash, or a bathroom adorned with textured metal panels alongside wood-grained drawers and a luxurious marble countertop. By embracing different finishes and colors, you can breathe new life into your home and leave a lasting impression on potential buyers.

As you embark on your home-selling journey, remember that certain areas hold particular importance in buyers’ eyes. The kitchen, great room, and master bathroom consistently yield the highest returns when it comes to remodeling. However, even small updates can make a significant difference. Don’t overlook the power of a refreshed powder bath, which can be easily updated to add a level of appeal to your home.

When considering countertops, it’s time to bid farewell to tile and embrace the elegance of slabs. Opting for stone countertops throughout the home ensures a cohesive and timeless look, with wood reserved for specific rooms to minimize wear and tear. Carefully select materials that align with your design style, whether it be classic marble, durable quartz, or the warmth of French white oak. Steer clear of flooring with orange or red undertones, as they might read to potential buyers as an outdated look. 

Maximizing your home’s appeal is a multi-faceted endeavor. While these three areas—technology integration, lighting fixtures, and materials—provide a solid foundation, other factors such as a fresh coat of paint, strategically chosen light bulbs, and decluttering can also contribute to creating an open and inviting space. By thoughtfully transforming your home, you can capture the attention of discerning buyers and secure the best possible return on your investment.

Ready to maximize the value of your home and make it a hot property in today’s real estate market? Our team of expert home designers and sellers is here to help you every step of the way.

Contact us now for a personalized consultation and discover how we can transform your home into a buyer’s dream.

VergaraRealEstate.com

Don’t miss out on the opportunity to sell your home for its highest potential value. Let’s make it happen together.