7-Unit Multi Family Valuation Methodology

[Patrick Bowen]

Hi Gang - I am under contract on a 7 unit deal in Central Connecticut with the strategy of performing a BRRRR (previous owner has held asset for 20yrs and has not pursued market rent adjustment despite good quality of asset and individual units).

My question is what will likely be the valuation method an appraiser will use? I assume this property is too small for a cap rate to be applied and instead will utilize more of a gross rent multiple approach. Any insight or comments relating to previous experience with valuations of this size would be appreciated as it will help better estimate what I can likely expect from an after "repair" value standpoint.