With housing shortages affecting large urban areas throughout the country, multi-unit residential units are becoming popular to address the increased demand. This type of habitational property offers investors a great opportunity to move into the real estate market. Here are some things to know before investing.


The experts at H&A Inc. state multi-unit residential buildings need customized solutions to properly address the unique risks posed by having multiple housing units together. Lose lease and vacant property are some additional liabilities investors face when operating multiple units.


Multi-unit housing can be tricky to finance but offers investors an opportunity to get into the market who may not have the funds to own a home and another property. Investors can live in one unit while renting out the others. Those rental costs help with qualifying ratios for obtaining the loan.


Not all locations allow for multi-unit residences. These types of investment properties are generally available in heavily populated areas such as urban areas. Many expensive parts of a city often have multi-unit housing available. Each city has slightly different areas more prone to these properties than others.

Habitational property insurance can help you protect your new investment property. Owning and renting out a multi-unit residence can be a great way to enter the real estate industry.