Rental Property Investor · Lancaster, TX · Member since 2019 · 4 posts · 2 votes
I've been investing in SFH real estate for a few years in Dallas Tx in the past few years I've picked up a few duplexes but at what point should I focus on obtaining smaller apartment complexes? How would I become more knowledgeable about the ends and outs of small multi family complexes and managing responsibilities.
Investor · Shelton, WA · Member since 2017 · 6k+ posts · 6k+ votes
7y
@Anthony Ballard If that's what will help you meet your goals I would say anytime. Watch a podcast, read a book or follow threads on here. As long as you can underwrite to select deals that will meet your financial criteria it is just more doors and tenants. My state LL Association has helped a lot as has this site.
Investor · Shelton, WA · Member since 2017 · 6k+ posts · 6k+ votes
7y
@Anthony Ballard If that's what will help you meet your goals I would say anytime. Watch a podcast, read a book or follow threads on here. As long as you can underwrite to select deals that will meet your financial criteria it is just more doors and tenants. My state LL Association has helped a lot as has this site.
As @Bjorn Ahlblad said, it's anytime. Whenever you are ready.
You obviously are ready now since the idea crossed your mind. So follow Bjorn's advice and get educated. David Lindhal, Joe Fairless, Frank Galinelli, Michael Blank, and many others have written about the ins and outs of multifamily. Use your market knowledge and network to evolve.
The only thing you have to change is your focus from duplexes to now looking at sourcing and analyzing the smaller apartment properties. PM me or reply here if you have more specific questions and I am happy to help point you in the right direction.
Rental Property Investor · Teaneck, NJ · Member since 2016 · 567 posts · 291 votes
7y
@Anthony Ballard as soon as you are ready. Smaller units (5-20) can be found on loopnet, Zillow and even some local MLS. Bigger properties on loopnet.com
Make sure you educate yourself before starting, as for example the property price calculated totally differently the residential units.
Rental Property Investor · Lancaster, TX · Member since 2019 · 4 posts · 2 votes
7y
Thanks for your advice you guys I've had a few opportunities to acquire smaller complexes and hesitated pulling the trigger on the deals and missed what I see now were some great deals
Rental Property Investor · Johnson City TN · Member since 2016 · 386 posts · 271 votes
7y
@Anthony Ballard - Since you are already familiar with the benefits of REI, I bet just further education will put you over the hump. Rod Khlief has a good ebook and I'd also recommend "Big Money from Small Apartments" by Lance Edwards.
Real Estate Agent · Cleveland, OH · Member since 2018 · 90 posts · 55 votes
7y
@Anthony Ballard
Now is the time Anthony! Typically 5units and above require a 25% down payment, so if you have the financials or can raise the capital to purchase anything 5 units and above, go out theres and start scaling that buisness and adding more units!
Union, NJ · Member since 2016 · 49 posts · 29 votes
7y
@Anthony Ballard Strongly recommend doing the research on what a good deal looks like in this realm...NOI and Valuations etc. I'm in the same place and while I am looking on LoopNet....Cityfeet... etc. I'm also spending a lot of time talking to folks who currently own small apartment buildings, or who finance these types of purchases to get a sense of all the nuances while getting my financing (and investor partner) in order. I hope this is helpful. Best of Luck!
Investor · Charlotte, NC · Member since 2017 · 791 posts · 479 votes
7y
@Anthony Ballard I would suggest going to a weekend boot camp or seminar where you can learn the differences for a relatively cheap investment. You will also learn how to underwrite and make proper assumptions.