Are Townhouses and Apartments Better Than Houses?
Strategy of investing in residential real estate is to maximize the use of other people’s money and tax deductions. As these properties do not have a high land content, rent returns and depreciation are often greater, thus helping cash flow. But as you build your portfolio, we encourage you to diversify your classes of property. In general unless you are going to buy a house and land package in a developing suburb the average investor will not want to pay the hundreds of dollars a week required to maintain an established home in the suburb where they live.
