Why You Should Think Bigger: Apartments vs. Houses
Ever wonder why I prefer owning apartment units over houses? It’s not just about the numbers—it’s about working smarter, not harder.
Here’s how apartments have made my life easier and more profitable:
1. Less Hassle, More Freedom
Managing rentals can turn into a full-time job when you’re dealing with multiple single-family homes. But with apartment buildings, especially those with 50+ units, it’s different.
They generate enough income to hire a property manager and maintenance team. That means fewer tenant calls and issues for you, so you can focus on growing your portfolio.
2. Build Wealth FasterWith single-family homes, you’re often limited by market value. A $200K house will only sell for so much, no matter how much you improve it. But with apartments, you can increase value just by reducing expenses or boosting rents.
For example, cutting costs by just $50 per unit in a 100-unit building can add $1.2M in value in a 5% cap market. That kind of scale is tough to achieve with houses.
3. Raising Capital is EasierBanks usually want to see 20% down from your savings for a house purchase. But with apartments, they’re more open to letting you raise that down payment from private investors. It makes it much easier to seize opportunities, even if you don’t have all the cash up front.
Now, don’t get me wrong—houses have their benefits. They’re easier to sell if you need to cash out fast, and house hacking can be a great starting point. But if you’re looking to scale up, earn more, and spend less time managing tenants, apartments and hotels are the way to go.
💬 Want to learn how to make your first apartment deal happen? Comment "I'm in" and I’ll send you the link to register for my FREE webinar tomorrow, October 9 at 8 PM EST: How to Buy Your First Apartment Deal. Don’t miss it!
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Mike Ealy
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Why You Should Think Bigger: Apartments vs. Houses
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