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  • Harold Willig

Apartments: A Good Idea During a Recession?

Investing in apartment may be a smart idea, and during a recession, even smarter.

During a period of slowing or negative growth, fewer people are able to afford home. Therefore, the demand for apartments increases.

In a recession, the supply of apartments is more static and predictable. Apartment investors become stronger in a recession because of the normal impact of supply and demand.

However, in a recession, the luxury apartment market takes a hit as people look for more affordable options. Money doesn’t stretch as far during a recession and rents increase, so prospective tenants and ones currently in luxury rentals, will want to spend less for housing.

That gives a boost to “Class B” and “Class C” apartment buildings.

So, if a recession is coming (and it will eventually), do your due diligence and find out the best investment options for you.

Read on HERE

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