Common Walk takes the nonsense out of investing in Affordable Housing.
Whether you are accredited, non-accredited or a beginner investor.
Our mission is to help everyone that wants to invest in affordable housing to make money, and make a difference.
Otherwise we won’t reach our goal of establishing 2.5M Affordable Housing units by 2047.
That said. Here are the main concerns we regularly hear:
- Isn’t it hard to generate profits?
- Doesn’t government bureaucracy around yearly inspections & tedious paperwork cause headaches?
- Aren’t affordable housing properties harder to renovate & maintain?
And to those, we have simple answers:
- PROFIT: Our properties are purchased so strategically, that it does not matter if we are being rented through section 8, to the public market, or even to a pet turtle. One key part to our investment equation is that we only purchase in areas that have consistent industries that should not leave for decades, thereby reducing our tenant client base income loss risk. Here’s an example: We just went under contract to buy a 12 unit multi-family for $540k that has dozens of long-term businesses within a 10 mile radius, plus it’s 20 minutes to Downtown. At such strategic acquisition price in targeted areas we analyze day-to-day, we can almost indefinitely house tenants at affordable rates while being profitable, and without the need for government subsidies…Which is the next point.
- BUREAUCRACY: I met a real estate investor 5 years ago. He said the two properties he bought were a complete wash because every year a Section 8 representative would inspect their property and assess a foundation wall was having issues. This went on for years and years of him repairing & re-renting…And to that I say:
- Firstly why was that not caught during inspection to avoid even purchasing the property, or at the very least using it as leverage for a drastic price reduction to offset losses.
- Second why continuously choose the wrong contractor for the job to fix it.
- And lastly, why even limit your tenant client base to government checklists that are bound to catch every single thing wrong with a property? These sorts of factors create a limited exit risk for the asset which is key to avoid as a pitfall.
- MAINTENANCE: The exit of a property whether it be a sale, cash out refinance, or rental in perpetuity largely is dictated by how well-versed and creative the investor is to create a negative into a positive. Let me give you an example. We invested in a 1930s single family home that was a mess but the price was right at $93k. We purchased it in the dead of Downtown Atlanta coming out of the crash [2010]. Now here’s the biggest key blessing, it was zoned for multi-family. Therefore, over time we were able to add one studio unit to existing square footage, then another detached ADU (accessory dwelling unit) in the backyard…Effectively making a high risk single income asset into a 3 unit income property with low-to-medium risk because even with tenant turnover, the mortgage should almost always be covered, and then some. And even if all 3 move out at the same time, the reserves can still cover a few months at a minimum.
Now hey, I know you’re a busy person, so I’ll wrap up the article here…
If you would like to invest with Common Walk, we have a fund specifically for Affordable Housing that you could be a part of by just reaching out…Or if you want to invest yourself, and just need to know where to start-we can chat about that too.
We are open to all of the above because we literally need the kitchen sink, and even the kitchen stove thrown at this affordable housing crisis right now. Every single person, family, and even a turtle can make a difference in our communities for the better by having a place to come home to and rest.
Simply click the link below to schedule some time.
https://commonwalk.com/schedule
Talk to you soon.
Disclaimer:
Investment in real estate is speculative and has a high degree of risk. Prospective investors must rely on their own examination of the Funds’ prospects and the terms of the investment, including the merits and risks involved.