A fourplex or quadplex is a popular investment property styles for a variety of investors. This article describes a fourplex, its benefits, and why a landlord would sell their property.
- What is a Fourplex?
- What is the difference between a Fourplex and an apartment?
- Benefits of Owning a Fourplex?
- Reasons Why A Landlord Would Sell Their Fourplex?
- SELL YOUR FOURPLEX FAST
- The Types of Fourplexes We Buy
- Where Do You Buy Fourplexes?
- Get Your Risk-Free Offer Now!
What is a Fourplex?
A Fourplex is a multi family home that provides four separate living spaces and entrances for four families. A Fourplex could be four story houses having a complete apartment on each floor or side by side apartments on a single lot that share a wall. Fourplex apartments come in various floorplans, with the most desirable type being those in which the square footage of all the units closely match or are identical to each other. Fourplex apartments are usually like a single family home and are favored by families due to their spacious interiors.
What is the difference between a Fourplex and an apartment?
The main difference between a Fourplex and an apartment is the ownership. A duplex has one owner who owns the entire building and typically lives in one unit and rents out the others, or rents out all units and lives somewhere else.
An apartment is a unit within a multi family building with many units (sometimes hundreds) rented out to tenants. All units are owned by a group of investors, a corporation, or a single person.
Living in a Fourplex is a similar experience to living in a single family home. A Fourplex provides more privacy than living in a traditional apartment building or apartment complex, however, it usually has less amenities than a Class A or Class B apartment.
Benefits of Owning a Fourplex?
Live in Your Fourplex
Fourplexes are a great way for investors to get experience as landlords because it’s easier for them to manage personally. Many people throughout the United States see the investment value of buying a Quadplex or Fourplex to live in one unit while renting out the other units (a.k.a. house hacking) to reduce the cost of home ownership. If the landlord lives in one Quadplex or Fourplex unit and rents out the others, it makes the property management easier.
There are also many tax benefits involved with owning a Quadplex or Fourplex as an investment property. If you live in one of the Quadplex or Fourplex units, you will receive the same deductions homeowners receive on their properties. When you own a Fourplex as an investment, you can also deduct many expenses, including tenant screenings, repairs, marketing and advertising, insurance, and any maintenance fees. Quadplex or Fourplex owners can also benefit from depreciation on their property, which will give you a tax break on your property’s rental income.
Reasons Why A Landlord Would Sell Their Fourplex?
Bad tenants can cause landlords many headaches and thousands of dollars in legal fees and repairs.
Foundation issues, electrical, HVAC, plumbing, flooring, appliances, and more. Repairs can easily wipe out your investment profitability.
Tired of Being a Landlord
Many landlords want to retire and focus on other interests and hobbies without having to worry about repairs, bills, and tenants.
When you sell a Fourplex that you occupy, you can gain more benefits than when selling a rental-only triplex. Rental properties are subject to capital gains tax and depreciation recapture tax when they are sold. The IRS will treat your Fourplex as four properties, only 3/4 of your Fourplex sale proceeds will be subject to taxes!
The Types of Fourplexes We Buy
We typically look at Fourplexes that are at least 15 years old and in need of renovations, repairs, and overall TLC! It doesn’t matter the situation, or the condition your property is in, contact us for a free cash offer!
Where Do You Buy Fourplexes?
We buy Fourplexes all throughout Texas! Simply fill out the form below to get started.