Multifamily real estate can be exceptionally stable because you can lose multiple tenants or you can have lower market rents and yet, still continue to generate positive cash flow. Since it can mitigate economic decline, real estate investing can offer more opportunity to add value through improvements, expense optimization and auxiliary revenue generation strategies. Despite other investments, you can always adapt and make profit through real estate in any market at any time. Going against public perceptions, a recession like economic crisis turns out to be a great opportunity to buy real estate, because prices can drop and then dramatically jump in value during the rebound. That is also the reason why investors now usually focus on emerging markets and submarkets, since there is an immense opportunity as the economy is approaching its next recession or whenever it really arrives.

If you buy a single family home, and your renter bails, your income goes to zero until you bring in another renter. If you join with other investors in a syndication and buy into multi-family, one of those renters leaving isn’t going to send you in a tailspin. And real estate is all about location, location, location, so if you buy a site in a premium, high-demand area, you won’t have to fight as hard to keep occupancy high as you would if your site was in the middle of nowhere.