Invest in a platform opening alternatives to everyone
CalTier is an innovative online investment and technology platform that provides direct-to-consumer access to typically hard-to-reach alternative investments like multi-family real estate.
Class B Assets
Class B is the next highest asset class, some characteristics include that they tend to be:
- Older than Class A buildings
- Often higher vacancy rates and less affluent tenants;
- Less desirable location than Class A buildings and they can be professionally managed
- There may be some maintenance issues.
Class C Assets
This class is sometimes described as “value add” because with some renovations and improvements assets in this class can be elevated to a higher class. Some characteristics may include:
- Older than 20 years;
- Less desirable locations and at times, poorly managed;
- They have some maintenance issues which need fixing
Adding Commercial Real Estate to Your Portfolio Can Provide Balance
It is generally agreed that a balanced portfolio will also include real estate (not your primary residence) in some form. This could be direct ownership in a condo or a second single family home or a portfolio investment.
The CalTier Fund gives you ability to add commercial real estate and enjoy all the benefits without most of the risks and headaches typically associated with this asset class. How much you add to your portfolio is up to you.
Multifamily: A Stable Real Estate Class
CBRE forecasts that the Multi-Family Industry will increase by 33% in 2023 and 2024 and that there is a projected 3 million shortfall in Multi-Family units over the next 10 years.
Many people believe that having around 30% of your portfolio allocated to cash-flowing real estate provides some level of resilience to market ups and downs.
Multi-Family Real Estate is considered one of the most stable real estate classes mainly because it can be leveraged typically 70% with debt and with already paying tenets, has built in cash-flow on purchase.