I'm considering relocating in the near future strictly for the purpose of investing/building a portfolio of rental properties.
I'm specifically interested in using the BRRRR strategy on residential 2-4 unit properties and 5+ unit commercial deals.
I'm looking for assets in desirable C+/B- or better areas so no section 8, high crime or low income type of neighborhoods.
Rents must meet the 1% rule and I'd like to cash flow $200/door after refinancing once the property is rented/stabilized.
I'm trying to find a market where deals are more readily available than here in South Florida where it's very competitive.
If you were gonna pack up and move somewhere strictly to invest in rehab/value-add multifamily where would you go?
Am I looking for a unicorn market that doesn't exist or are there investors here on BP regularly finding these deals?
I should add that I'm looking for deals where I can be all-in at no more than 70% ARV.
This way I'm able to refinance my initial capital back out once it's fully rehabbed/rented.
Which markets have inventory of distressed/undervalued/under-performing multifamily assets?
Apparently nobody is executing the BRRRR strategy on value-add multifamily deals around here!
@Brian Garrett the easy days of finding markets like that are over. 5 years ago they were everywhere. 3 years ago they were everywhere in the Southeast. 3 years ago they were everywhere in the midwest. I think there are still probably some decent markets where you can execute a strategy like that in both the southeast and the midwest but they are smaller markets and harder to find.
If you can find a decent secondary or tertiary market with good population growth where the prices still haven't taken off that would work. But that will take some analysis and honestly I don't think you'll find much.
Instead, maybe look for a smaller market with some kind of catalyst.