May 15, 2025

Unlocking the Potential of Mid-Term Rental Investments: Why Compact Multi-Family Homes is a Great Investment

At CRUHomes, we recognize the appeal of investing in real estate,

At CRUHomes, we recognize the appeal of investing in real estate, particularly focused on mid-term rentals.

In this blog post,we examine the reasons why investors consider compact multi-family buildings as a great investment strategy such as duplexes and four-plexes.

We will illustrate our perspective with a real-life example from the year 2021.

The Cash Flow Dynamo of Duplexes:

In 2021, we acquired a duplex in Austin, Texas,

and it swiftly became a cornerstone of our investment portfolio.

Here’s why –

Steady Cash Flow:

‍With both sides of the duplex occupied, we consistently earn over $5,000 per month in cash flow. This reliable income stream not only ensured financial stability but also opened avenues for future investments with a proof of concept.

Mitigating Risk with Multi-Family Properties:

‍One of the primary advantages of compact multi-family homes lies in risk management. Here’s how they offer a buffer against financial uncertainties:

Continuous Income:‍

Unlike single-family homes, where vacancies can lead to significant revenue loss, multi-family properties generate income as long as at least one unit is occupied. This steady stream of income helps cushion against financial shocks.

Reduced Downtime:‍

Vacancies in single-family homes often entail downtime for maintenance and preparation for new tenants, resulting in weeks without income. Conversely, with multi-family properties, even if one unit is vacant, the others continue to generate revenue, minimizing the impact of vacancies.

Lower Risk with Reserves:

‍Multi-family properties provide more consistent cash flow, making it easier to maintain reserves for unforeseen expenses or vacancies, thereby reducing overall investment risk.

Investment Insights for Austin:‍

For those eyeing the vibrant real estate market in Austin, here’s what you can expect:

Duplexes typically range from $500,000 to $700,000,

depending on location and condition, while a four-plex may cost around $800,000.

Empowering Others to Invest:

‍At CRUHomes, we’re actively assisting investors in their journey towards multi-family property ownership.

Currently, we have two investors under contract. If you’re interested in exploring the potential of multi-family property investments or need guidance on your investment path, feel free to reach out to us.

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