Multifamily

Residential properties with multiple units, from duplexes (2 units) to large apartment complexes. Multifamily provides income diversification—losing one tenant doesn't eliminate all income.

Key Points

Understanding multifamily is essential for evaluating real estate investments
This concept helps investors compare opportunities objectively
Our Free Snapshot tool automatically calculates relevant metrics for any property

Related Terms

Single Family Rental (SFR)

A detached residential property designed for one family, purchased as an investment and rented to tenants. SFRs offer simpler management than multifamily but have 100% vacancy risk if the tenant leaves.

Property Class

A grading system (A, B, C, D) based on property age, condition, location, and amenities. Class A are newer, luxury properties in prime locations. Class C/D are older properties in less desirable areas with higher cap rates but more risk.