REI MultiFamily & SingleFamily

3 Replies

When deciding to pick a property to invest in, for example a MultiFamily, what are some indicators that one looks into? Of course price, vacancy ratio in that area, rent to value return, and comparable rents, does a neighborhood play a role? If it’s near a home, purchasing a multifamily, and renting out many rooms by one is most profitable. Would this be most profitable near a college/school? Where you can rent it out to students? Does one look at such stuff? What are other things one looks at? I know there is population growth in the area, infrastructure, job increases, but what else? Thanks guys! Answers from veteran investors is gladly appreciated! God bless! Arthur Voskanyan

@Arthur Voskanyan , it's obvious you've done lots of reading. But, anything else?

The fact is, at the right price, any property could be a right deal for you!

It's just that 93.7% of all Sellers won't let you have it for the "right" price.

The trick is: finding those other 6.3%! 

[And/or, work out how much higher than the right price you're prepared to risk!]

Sure, if you want the extra stress/vacancy/costs that go with student accommodation or Air B&B, there's many who make great profits - but also - plenty who don't!

I'd be very surprised if any further responses you get here will suddenly give you a light-bulb moment, setting you on a path that you've so far been dodging. Good luck though...

Brent,

The 6.3% of sellers is a hard target I agree, but that 6.3% of sellers becomes brighter when figuring out if the seller is an owner, or if it’s a short sale, most likely banks will give it up for a lower price because of that, as well as an owner may be lenient because of personal circumstances. Lots of factors that determine if a barter price can be made! Thus making it a good deal.
Am I correct?

Thank you,

Arthur V.

Originally posted by @Arthur Voskanyan :

Brent,

The 6.3% of sellers is a hard target I agree, but that 6.3% of sellers becomes brighter when figuring out if the seller is an owner, or if it’s a short sale, most likely banks will give it up for a lower price because of that, as well as an owner may be lenient because of personal circumstances. Lots of factors that determine if a barter price can be made! Thus making it a good deal.
Am I correct?

Thank you,

Arthur V.

Yes. 

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