For a number of years now, the term millennial has been thrown around like a four letter word. It is often said with a grimace, as the current generation has been identified as self-serving, self-absorbed individuals. However, as we close out a decade, we are beginning to see a huge shift in the way that millennials not only think and act, but spend money, and determine their goals. It seems that the years of tech obsession and selfishness has taken its toll on this generation and they are starting to crawl out of their holes as more intuitive, responsible adults. And honestly, they are great investors. Gripped with the healthy fear of another recession and the economic stress that the 2008 housing crash put on their parents, they seem determined to be smarter financially.
Millennials have both great advantaged and disadvantages in this current economic climate. They have more debt than any generation ever, and they are seeing, for the first time ever, that it is statistically impossible for them to even consider buying a home. These individuals are much more likely to rent and as a result, their advantage is that they have begun to see that investing in multi-family properties may be the best way for them to engage in the housing market. A market that has been unattainable to them in the last 5 or so years. The accessibility of information available to them because of the internet has made them savvy investors who are more calculated than ever.
As their college debt is coming due, and they are seeing that owning a home isn’t in their budget or their long term goals, millennials are looking to invest in some passive income, and as they see rental properties expanding, they are choosing to dive in. This not only helps those of use who own properties, as our rents continue to increase, and renters are not only reliable but consistent. Once in a rental, people are 7 times more likely to stay a renter as opposed to buying. As seasoned investors, we also gain the benefit of new investors who have income that they aren’t spending on housing and upkeep to contribute to syndication. This is good for everyone! As new investors join the folds, we gain more opportunities and can increase not only the number of properties, but the value of properties. As add-value investors, this is the golden ticket. When we can afford to rehab more properties, quickly, we gain momentum. And in real estate, momentum is everything.
Here at Magnolia Capital Properties, we believe in educating our investors and making sure that you are secure and growing your passive wealth income goals. Are you ready to find a real estate investment services firm who works for you? Are you wanting to invest in real estate as a passive, accredited investor in order to do the things you love? Do you want to work with a highly motivated, professional team that has a detailed investment strategy, a repeatable business model that produces targeted, profitable results? If you have answered “yes” to any of these questions, then you have found multifamily real estate investments at its very best with Magnolia Capital Properties. Head over to our contact page and leave your information so that we can help you start investing today!