Newbie in ATL Area - multifamilies???

Question

We are just getting started and want to consider duplex or triplex but cannot seem to find ANYTHING in the Atlanta metro area.... at least nothing on MLS.  Are there just not any multi-family properties for sale around Atlanta right now or are we barking up the wrong tree by hoping to find something in Zillor or Realtor.com?

Cameron Braig · Answer

@Catie Baker

As I'm sure you know the inner perimeter Atlanta is very competitive. Tertiary markets like Dawsonville have also benefited from this growth and can provide opportunities. Retail growth, multifamily growth, SFH growth, has spurred on positive momentum. Best of luck to you on your journey.

Brenden Mitchum · Answer

Hey @Catie Baker, welcome to the BP community!

Truth is you aren't seeing anything for a couple of reasons: 1. Overall supply of small MF in Atlanta is pretty low. 2. What little does get sold is typically traded off-market.

Zillow and Realtor.com are fairly accurate. Not as good as direct MLS access but chances are there isn't anything you're missing - there just isn't much here. Your best bet would be to link up with a REALTOR® who does some MF deals. Most likely there isn't anyone who solely focuses on them but at least have someone who understands the market and has a few off-market connections. You'll also want to network with other investors here and get in touch with wholesalers. Essentially, the name of the game is to just talk to everyone that you can.

Everybody and their mom wants a small MF in Atlanta so competition is fierce. And, as we already mentioned, supply is crazy low. You're certainly going to be fighting an uphill battle but I know a guy (new investor too) who's purchased several MF over the past year so I know it's not impossible. I, personally, focus on more niche investing to avoid the frenzy. I'd rather get creative and find returns in places where not many others are because this usually means higher returns.

Hope this helps a bit - please, feel free to reach out anytime if you have other questions or just want to chat!

Catie Baker · Answer

Tough to find.  We went with a SFH instead.  Apparently most of the multi-families go off market or go super fast or need tons of work.  Even the wholesaling companies we get leads from didn't have many MFRs to share.

Yinka Taiwo · Answer

@Catie Baker how did this turn out? I'm looking for a MFR in ATL to house hack myself

Account Closed · Answer

I've been looking at loopnet for I think about 30 years and never found a decent property to purchase.

If you can, never purchase less than a 4-plex since your profit is almost exponential when you increase the rents and the rent increases increase the value of the property. This does not occur with a duplex and I am not sure about a tri-pex, but I think you can get a 4-plex for about the same price as a tri-plex and do much better.

Patrick C. Bellamy · Answer

Welcome Catie to the BP community!

There is definitely no problem with starting off in MFH.  Given the Atlanta area and what others already touched on, there are a few things you can do to put the odds a little bit more in your favor so that once you find a deal you can move on it much more quickly.  From personal experience, these deals on the MLS can move FAST, and if it's a good deal they move even faster.  Think under 24 hours, less than 12 hours in some cases.  People who have the experience with MFH, and who have the financing to offer cash, or the connections and relationship with lenders or HMLs, are able to move quickly on a deal.

There are deals, but like many people already said odds are better finding deals off market.  Search the areas you like for these units and reach out to the owners and keep following up with them.

Please feel free to reach out anytime.  I hope this helps even a little and wish you the best of luck! You got this!

Channing Brand · Answer

For deals on multi-family properties in Atlanta, the best bet is to work with a local realtor that have off-market connections. Inventory is low in Atlanta and multi-family properties are few and far between on MLS or Zillow.

Yaniel Suarez · Answer

Find an investor-friendly agent who specializes in multi-family and who has access to all of the MLS data in your area. Zillow and Realtor.com don't show nearly as many properties as what the agents have access to.

Jason Lum · Answer

Loopnet has some four-plexes.

Newbie in ATL Area - multifamilies???

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