Information on CMA for Multifamily units

[Jamila L Scales]

I would like to know what kind of questions to ask when speaking to a realtor about a Multifamily units. I'm learning that CMA is really important but I need more info. Can anyone help on this topic.

[Jonathan Bombaci]

Most realtors don't know much about investment properties. You have to be the one to control the analysis, you can't have anyone else do it for you. That being said, you should get a buyers agent that is a Realtor working on your team. They can gather and provide you with the information that you need for your analysis like average rents based on bedrooms, average utility costs, information about the area/neighborhood, and general market conditions. They can also introduce you to other people you need on your team like a good home inspectors, lenders, closing attorneys, property managers, contractors, movers, and anyone else somewhat involved with the industry. The Agent will help you find properties, coordinate getting you into see them (which can be tough with multi-families) and do what they need to do to keep the deal progressing. They'll monitoring the deal and the dates in your contracts to make sure everything stays on track. They're the person you call at 9pm at night when you need someone to answer questions and reassure you that things are coming together. 

All that being said at the end of the day it's your investment so you have to control the analysis, it's you're deal you must treat it as such. Ask questions, a good agent will know the answer or know how to get the answer. If they provide you with a CMA say thank you and then put it to the side and do your own analysis. Every investor is different and your CMA will be very different than my CMA because we will have different assumptions and look at the same deal very differently.