Finding Smart Income Property Deals In This Market

Nov 10, 2022

As the economy continues to change, multiple streams of income, and passive income have never been more important. 

With the real estate market changing simultaneously, it is also critical that investors are smarter about picking the right property deals. 

The Need For Alternative Streams Of Income

Securing sources of income for this next phase of the economy is going to make all the difference between those that make it, and those that go bankrupt. 

The biggest corporations have already frozen hiring. Many have been making layoffs. These include Twitter which is rumored to potentially be letting go of 75% of its workforce. 

Many companies will cut off dividends on their stocks, and speculative investments made over the past couple of years are likely to fail. 

It is almost too late for many to avoid significant financial losses. Yet, a few intelligent investments now could make all the difference. 

Big Mistakes Being Made In The Market

At NNG Capital, we’ve been preparing and positioning for this shift and new set of opportunities for the past couple of years already.

Yet, we’ve all seen many huge blunders being made out there, which seem almost certain to fail soon. 

These include:

  • Overleveraging, with debt that will mature at the wrong time in the market
  • Grossly overpaying for assets, which will lead to double digit losses
  • Speculating on rental increases in areas where it is not supported
  • Poor property management which has burned the local tenant pool
  • Inefficient and out of touch asset management

Profitable, Common Sense Multifamily Property Deals

Multifamily income properties still make an enormous amount of sense in this type of market. 

Done right, they not only prove resilient in recessions, but even benefit from them. Yet, it is all about buying and managing them right.

At NNG Capital, we have been disciplined in sourcing, vetting, and acquiring properties at the right values now, and building in value and growth opportunities, without speculating on an extended bull run. 

This includes:

  • Targeting properties with more affordable rents
  • Acquiring rentals that are currently under market rents
  • Finding value add deals, where we can control increases in asset value
  • Picking markets with low downside volatility
  • Honing internal processes and operational efficiency to outperform others

Whether you invest through us or not, these are vital components to sustainable investments that can remain profitable and cash flow positive through the turbulence ahead. 

Investment Opportunities

Find out more about investing in secured debt and real estate, go to NNG Capital Fund.