Multi units in the city vs SFR in the suburbs.

[Jorge Leon]

Hi all. My family and I are looking to invest about 3-4 million dollars in rental properties. We are deciding between a couple 3-5 units in the city or several (cheaper) SFR in the suburbs and outskirts. I imagine the return is better for the cheaper properties as rents don't go below $1,000 in most places. What about from a tax and appreciation standpoint. What's the better investment? Would love to hear some opinions.

[Marcin Talaga]

@Jorge Leon keep your mind open to all investment types and options.  There is nothing wrong with diversifying and owning a little bit of each.  If you find a deal that you like, the numbers make sense, and the area is primed for long term stability or even better, improvement, then go for it!  Right now there are renters out there looking for every kind of rental.  I say spread it out.  Having a few places in the city and a few in the suburbs and a mix of multi unit and SF is a great option.  Most importantly, have a good team in place to help you identify solid deals.  If you'd like some help, feel free to reach out.

Now, for all you Illinois bashers out there... it's getting pretty old.  If you don't like investing in Illinois then why are responding to a message about investing in Illinois?  Why do you feel the need to lecture someone and bad mouth a city, or state?  The question wasn't asking IF he should invest in Illinois, it was regarding the types of properties.  Leave your rants out of it.  AIN'T NOBODY GOT TIME FOR THAT!