Where to look for Multi-Family?

Question

With all the Multi-Family/Apartment talk lately I've been thinking more about it. From the start we have wanted to get into apartments, but have yet to find a building where the cashflow can compare with SFR in our area.

I thought the reason was that MF buildings were held by investors and they were not willing to come down in price, or not getting forclosed on because they had cashflow, but I'm starting to think I'm just not looking in the right places.
Driving around, I have noticed that there are alot of 6-20 unit apartment buildings. Some of these have to be bank owned? right? 
Where can I find MF listings other than the MLS or loopnet?

Where did you find your first MF deal?

Stephen Moore · Answer

get on loopnet,and the brokers/agents that have those deals call them up adn ask them to set u up on a email alert system,these are the agents with the deals,u can also call up local offices and ask to speak with the commercial agents

Aaron Mazzrillo · Answer

There are agents that specialize in commercial (5+ units) apartment bldgs. We have one out here in California that puts out his own monthly newsletter. If you see one listed, contact the office and see if they have more listings.

Direct mail also works great. You can get a list of apartment bldg owners and mail to them.

Paul Timmins · Answer

Try zillow.com look for multi's filter low to high price  Ones that are corporately owned, bank owned or vacant are REO's
Check and see which brokers are listing the REO's frequently. Connect with those brokers, banks use the same brokers over and over.
When speaking with the broker ask them What do you need to close on in the next 30 days...?

Max Drizin · Answer

A lot of it is in finding the right agent, if you are going for that.  Many of the deals are not the ones listed on the MLS.  It's when you know someone who has to get out of the business, or you know someone who just wants to (e.g. retirement).

I'm closing on a property today that I found on Craigslist, a 22% capitalization rate, bought it for half of what it's appraised at.

You also have to realize that a lot of agents are just bad.  It's moms who think they can make a little extra money closing on one or two properties every so often, and they won't deliver what you want.  I've dealt with so many incompetent agents that I wish I could just give them a sheet of my criteria and tell them to get in touch when they find one, but it is hard to explain sometimes.

Where to look for Multi-Family?

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