New to Real Estate · Federal Way, WA · Member since 2018 · 15 posts · 4 votes
Hi Guys!
Just moved to Kent area, Washington in November, new Job, and everything’s going well so far.
Looking to start a conversation specifically about Washington State in regards to hot Cash Flow potential areas in the Multifamily space.
Our plan is to sell my Alaska Home in May-ish, then use that money to invest in likely a Duplex/Triplex. I have been practicing running my numbers, and have been looking at areas like Tacoma.
I should have about 35k after my Alaska Home Sale to invest towards a multifamily, are there any particular areas that any of you have had great success in the multifamily space, resulting in healthy cash flow?
As others have mentioned, try focusing outside of Seattle a bit. Tacoma has some cash-flowing properties but most multi-families in the region have been overpriced the past few years. That doesn’t mean deals can’t be found, but expanding out to other areas north of Seattle or even east will give you more options. I recently did a deal on a fixer duplex in Wenatchee that will rent for a good cash flow. I’d be happy to chat with you further. Feel free to reach out!
@Jay Hinrichs Thanks for that Jay! Took a bit getting back to you cause I wanted to listen to episode 222 to hear your story before responding, and its fascinating, you definitely are a creative strategist! My fiance and I just moved to Washington and I also am in the Aerospace industry now working as a Project Engineer for Exotic Metals in Kent.
@Jay Hinrichs I'm from Vancouver. I've done the Vancouver to Omak trip more than a few times, I haven't flown out of Omak yet. Wenatchee is 2 hours and Spokane is 3 hours, so you really don't save that much time flying out of those 2 places.
@Jack B. Some of those remind me of the Buying Alaska show on The Discovery Channel where it's pretty common to have an outhouse and be off the grid.
I was unsure if you were talking about living in your property or looking for investment property anywhere in Washington. Yes, Aberdeen is a good area to look into as well.
Hi @Ryan Rupe ! I will agree with @Mark Sewell ; the Kelso/Longview market is a nice location with good employment and jobs. In the Portland/Vancouver market it is very difficult to find MF properties under $300,000 but I do know there are a couple duplexes under $200,000 and the rents for a 2/1 are around $900 in Kelso.
Spokane is a great option if you are looking for that middle ground of cash flow and appreciation. People continue to move into the area causing very low vacancy and spikes in rental rates.
@Ryan Rupe I have had good luck on my properties in Thurston County however the prices have increased quite a bit since I bought them a few years ago (hooray for appreciation!) meaning it's a bit harder to snag a good deal there now. I also agree with @Ruth Bayang on Lewis county. I live and work here now and there are more opportunities here in my opinion as far as cash flowing investments go. Good luck! Reach out if there is anything I can help you with down this way.
Ryan, if you are able to add to your estimated cash position you should be able to find a solid MF deal in Thurston or Lewis county that will meet your criteria. There is still solid demand and appreciation could be expected in these areas as well. For non owner occupied you should expect to put 20% down.