Multi-unit investment properties are one of the hottest commercial properties on the market.

“A good income-producing multi-unit will bring ‘mailbox’ money every month,” explains Brooks Ames, a Realtor/Auctioneer with KIKO for more than 20 years.

“As long as owners take care of the real estate, it will be an investment that continues to make them money for a long time.”

A multi-family property can be a duplex, triplex or quadplex – a house with two, three or four separate units, respectively – or they can be townhouses and semi-detached homes. Properties with five or more housing units is considered commercial in the real estate industry.

Regardless of the property type, the market continues to remain strong for this multi-family commercial real estate. So, when is the right time to sell a multi-family investment?

1. The Right Time To Sell

“The right time to sell is when you want to convert your assets into cash,” explains Ames. “Right now, interest rates are coming down and buyers are taking advantage of that. Also, many sellers are able to take advantage of 1031 tax exchanges.”

If you’re thinking about selling, consider taking advantage of the auction method of marketing.

Auctions can make the process smoother for tenants as the units are generally open on auction day at one specific date/time. Additionally, auctions allow sellers to control the terms of the sale – the multi-units can sell “as is, where is” with no contingencies and on a specific date set by the seller.

Here are more tips for selling multi-unit investment properties:

2. Curb Appeal Is Huge

First impressions are important so it is important that you make sure the outside is clean. Maintaining landscaping, paint and common areas around the property ensures visual appeal for potential buyers.

Consider strategic upgrades that can increase the value and appeal.

3. Highlight Financial Performance

Potential buyers will be very interested in the financial health of the property. Have all leases, utility bills, etc. readily available for potential buyers.

Giving that clear, detailed picture of financial performance will make the property more attractive.

Selling a multi-family home does not have to be a complicated process. Focusing on these three areas can make the process smooth and increase the potential for a faster sale.