Looking to start investing in the Virginia Beach area

Looking to start investing in the Virginia Beach area

Fort Eustis, VA · Member since 2016 · 54 posts · 18 votes

Hi all! I've been a member of Bigger Pockets for almost a year now and have been reading many of these forums to stay informed. I'm also an avid listener of the Bigger Pockets podcasts and have read "The Book on Investing in Real Estate with Little or No Money Down" as well as other major real estate investing books in an attempt to capture and learn everything that I can prior to going down this road. 

I'm 24 years old, located in Newport News, VA but I'm looking to invest in the Virginia Beach area (only about 35 mins away). I've spent the last few weeks analyzing the VA Beach market and have found that my decision to pursue being a landlord and renting multi-family units seems to be an optimal choice for that market. The average household size in Virginia Beach is approx. 2.63 persons with an average household income of $67,001.00 which is within my target "audience" (middle-class, middle-income). About 50% of those who live in VA Beach are married status which could very possible mean that there are kids in the picture, although the average household size is less than 3 people. Now, being that I want to own and rent multi-family units (duplexes, apartments, etc.), is Virginia Beach a market where I could do so successfully?

I also delved into the city's local commission website and took note of various building permits and there seems to be an eminent number of plans (car washes, restaurants, parks, etc.) in the plans around different areas of the city that I'm sure will also contribute to the population and demand; not to mention, there are major resident-attracting plans in the books! 

I've read books and read articles on different financing options from seller financing to bank loans to partners but I want to know from those with experience what has worked best for them. I've not tons of money to get started but I do have the drive to make it happen so whatever it takes! I'm open for suggestions and tips from any and all and I thank you guys in advance! :)

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Patti RobertsonBusiness Member
Property Manager · Virginia Beach, VA · Member since 2016 · 2k+ posts · 2k+ votes
9y

@Roberto Costa - I own and manage rentals in Portsmouth.  It used to be my favorite city because the buy/rent ratios were so good. Then SEC 8 took rents from 100% to 90% of market. Then the city implemented the expenseive lawn mow law.  Somewhere along the line the property tax rate went to 1.3% (compared to .9% in Virginia Beach). Did you see that the former Housing Authority Director just threatened to sue the city for $41M if they don't give him $1.5M? It hit the news today.  This city is riddled with corruption. I'm just taking a stand.  I'm not selling what I have there, but I refuse to put any more in inventory.  I will flip or wholesale, but I don't want any more long term committments in PTown.

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  • Umar JavaidPro Member
    BiggerPockets Support · São Paulo, São Paulo · Member since 2015 · 548 posts · 79 votes
    9y

    It's great to have you at BiggerPockets @Jessenia Munoz

    See you around forums!

    BiggerPockets
  • Fort Eustis, VA · Member since 2016 · 54 posts · 18 votes
    9y

    Thanks @Umar Javaid, it's great to be here!

  • Newport News, VA · Member since 2016 · 42 posts · 19 votes
    9y

    i see good multi families pop up in the Norfolk vb area all the time. I would recommend going to the preia meet ups and possibly becoming a TRIG member. Im also just getting started, and as a 24 year old myself, everyone seems very willing to help. 

    At the meeting Thursday there was a lady looking to seller finance a duplex. I may be able to get her contact info if you'd like to look into it.

    The deals are here!

  • Fort Eustis, VA · Member since 2016 · 54 posts · 18 votes
    9y
    Michael Snead I would love her information if you could get that for me! Actually, it's funny you mention TRIG meeting because I've actually signed up to agent one this coming Tuesday just so see what it's like and what I could learn. We'll see how that goes :D
  • Real Estate Agent · Hampton Roads, VA · Member since 2016 · 87 posts · 46 votes
    9y
    Welcome to Bigger pockets! Being a local Realtor/Investor myself I agree with Michael Snead the deals are here! If you need any assistance or advice with anything I'm here to help. Feel free to shoot me a DM!
  • Fort Eustis, VA · Member since 2016 · 54 posts · 18 votes
    9y
    Amberle Farthing thanks much! I'm here to learn but also help so just as you said, (although I'm fresh) if there's anything I could do to help you then I'm willing to do so :)
  • Real Estate Agent · Virginia Beach, VA · Member since 2016 · 29 posts · 24 votes
    9y

    @Jessenia Munoz Welcome aboard! I'm an investor friendly Realtor that mostly works Southside Hampton Roads. I started in REI then eventually made real estate my full time career. I'm also a member of TRIG which has proven to be a useful tool! This is definitely a fantastic area for multi family investments. I deal with creative purchases such as owner financing along with the traditional routes. Each have their merits. I'd be happy to have a consultation at my office one day if you'd like some more information and guidance.

  • Mortgage Consultant · Raleigh, NC · Member since 2016 · 181 posts · 53 votes
    9y

    @Jessenia Munoz I believe that Newport news is near a military base.  If so the potential to break into the multifamily arena is prime.  You will never run out of new clients as military is constantly on the move so rentals would be wide open.   I hope that you are successful in this experience.  We will all learn together so good luck to you and happy hunting. 

  • Real estate investor · Las Vegas · Member since 2013 · 798 posts · 171 votes
    9y

    I used to live in Virginia Beach and have a few turnkey place available.  PM me if you are interested.

  • Fort Eustis, VA · Member since 2016 · 54 posts · 18 votes
    9y

    @Doug Van Liew Hi there! Thank you for reaching out and confirming that I'm on the right path with some things here. Having said that, I would be more than happy to set up a consultation with you! I'll be reaching out to you very soon :D

  • Fort Eustis, VA · Member since 2016 · 54 posts · 18 votes
    9y

    @Michael Macklin You know what? I hadn't thought of that! Joint base Langley/Eustis (they're related although one is Navy and in Hampton and one is Army and in Newport News)  are both pretty prominent military bases as they function near the Chesapeake Bay areas and such. All that to say, that there is absolutely a ton of traffic pertinent to both bases so this is definitely something to look into.

    Thanks for that perspective! :D

  • Mortgage Consultant · Raleigh, NC · Member since 2016 · 181 posts · 53 votes
    9y

    @Jessenia Munoz glad I could help.  I'm military myself currently living in NC so I plan on targeting fellow Soldiers as I understand their needs being I've lived the life.  Soon as I saw your question/post I figured I'd pass on that advice.  Happy to help. 

  • Fort Eustis, VA · Member since 2016 · 54 posts · 18 votes
    9y

    @Michael Macklin Thanks again, I wish you well on this new venture :)

  • Real Estate Investor · Richmond, VA · Member since 2016 · 133 posts · 31 votes
    9y

    @Jessenia Munoz Congrats on moving forward in REI! This was my first year learning about REI and have found other investors to be very helpful and willing to share educational tips, especially when you show initiative. I would suggest to keep being active on BP, and listening to podcasts, as well as checking out the weekly BP webinars. There's so much information here and it's a great community to learn and be active in. Wishing you well in your investing!

  • Fort Eustis, VA · Member since 2016 · 54 posts · 18 votes
    9y

    @Nicole Graves thanks for the encouragement! I've found that the BP comkunoty has been immensely willing to help us newbies and I'm truly thankful. Again, thanks 

  • Upen PatelPro Member
    Lender · Nationwide Lender · Member since 2015 · 1k+ posts · 814 votes
    9y

    @Jessenia Munoz Welcome to BP. Great research to figure out where you should buy.

  • Fort Eustis, VA · Member since 2016 · 54 posts · 18 votes
    9y

    @Upen Patel Thanks! I'm definitely one of those people that likes to have all her ducks in a row, as they say, before doing ANYTHING which can be both a blessing and a curse!

  • Investor · Virginia beach, VA · Member since 2016 · 45 posts · 6 votes
    9y

    @Jessenia Munoz , welcome to BP and to REI! I am a newbie too and I just bought my first 2 properties in July and I can tell you that taking that first step is the hardest, but once you get your feet wet it gets much easier. I learned a lot in the process and I continue to learn more everyday, but I also feel more confident in acquiring my next property. So I will encourage you, if you have done your research and learned as much as you can, to go ahead and jump in with both feet. You have the whole BP community to answer any questions and queries you may ask. I can also show you the steps I took , if you are willing to learn , to purchase my properties.

    Good luck.

  • Fort Eustis, VA · Member since 2016 · 54 posts · 18 votes
    9y

    @Christian Abella Congrats on the two properties! Good to know that the hardest part is the initial fear.... Although I have a strong feeling that once I take that step and buy that first property, I might be hooked! 

    As I tell everyone else, thank you so much for reaching out an encouraging me to just get started; it's always rewarding to get that reassurance that it can be done. So I'm definitely willing to learnt he ropes from anyone who's willing to teach!

  • Realtor · McLean, VA · Member since 2009 · 184 posts · 80 votes
    9y

    Welcome Jessenia! There are some great REIA groups here. I recommend PREIA and TRIG. I went to the TRIG meeting last night and met some great resources.

  • Fort Eustis, VA · Member since 2016 · 54 posts · 18 votes
    9y

    @Erik K. Hi Erik! We might've seen each other because I was there as well! It was my first one and I also acquired some pretty valuable contacts. 

  • Rental Property Investor · Chesapeake, VA · Member since 2013 · 17 posts · 8 votes
    9y

    Va Beach isn't a bad market. Just understand in VABeach, because of the asset price vs. rental yield... your profit may be a little lower. However, in the RIGHT area of VABeach, it can provide good stability! Hard to find good multifamily in the Hampton roads area.. especially in VA beach. All those who have gold mine multifam, are not selling the "golden gooses!" Those that are selling, be sure to do your due-diligence. Many selling in Norfolk- Ocean view, are in terrible flood zones! It wouldn't hurt to seek an agent who is also an investor! If you want gems... ask a gemologist!

    Moments- Don't be a "Sitting Duck."

  • Fort Eustis, VA · Member since 2016 · 54 posts · 18 votes
    9y

    @Almateen Yazid I've found that a number of people have confirmed what you've said about the ROI in the Virginia Beach area. Seems like one really has to dig deep to find those "gems." Have you any experince in the Newport News arena?

    These two markets are the ones that I wanted to start off with (but I'm open to changes if I find otherwise).

  • Rental Property Investor · Chesapeake, VA · Member since 2013 · 17 posts · 8 votes
    9y

    NO. None in NPN. Other areas of tidewater I do. Just have to really know the areas to Maximize your return (ROI). There are certain areas, as an investor, even in VABeach I would stay away from!

    All areas have there sections.

  • Fort Eustis, VA · Member since 2016 · 54 posts · 18 votes
    9y

    @Almateen Yazid what are those areas that you'd say I shouldn't go near? 

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