Anchorage is the best place to move to if you’re looking for a good view of the Aurora Borealis at night. This small Alaskan municipality is also home to some of the most magnificent parks in the United States. A lot of people, however, dismiss the idea of moving to this area for reasons including the cold, which proves itself unrelenting by the snow present even during the hottest months.
Notwithstanding the fact, even the people who are most eager to live in Anchorage are discouraged mainly by the soaring house prices. In his article for Alaska Dispatch News posted in ADN.com, writer Devin Kelly tells how a household of four that lives in a three-bedroom, townhouse style unit can hardly move up in the housing market due to the sheer price of a single-family unit that they’ve always wanted.
The truth is, for a family to afford an average-priced home, they have to earn at least $100,000 per year, which in itself is quite a feat for a family with both parents working. They may resort to living in a two-bedroom apartment if their average annual income is only around $50,000. One of the many solutions to this problem is to generate income from the home, which can help reduce the regular amount required to cover the mortgage.
Fortunately, there’s a type of property designed to generate income while providing residence for the owner—multifamily residential. This is a building specifically built with separate housing units allowing more than one family to reside. The owner can take one particular living space and rent out the extra units. Families residing in the multifamily home can share other amenities.
The price of a multifamily home is just as high or higher than that of a single-family home. While this may not sound a reasonable solution to the buying difficulty experienced by average families at first, multifamily investments in Anchorage, AK will prove economical in the long run. The reason is that you can use the rent from the other inhabitants to pay for the mortgage and maintenance cost.
Since a multifamily home is bound to yield profit, financial institutions will likely factor in the potential profit when measuring your creditworthiness. This will help increase your entitlement for great financing options available. The only thing left to worry about is tax, which is a bit higher than that for a non-profit type of residence.
If you’re interested in purchasing this kind of Anchorage commercial real estate, consider getting help from a real estate company like Graham Commercial Real Estate. Their years of experience in the industry will lead you to the property that can generate more income to cover your cost.
(Source: Anchorage doesn’t have enough homes to meet demand, ADN.com)