Covering debt service in expensive markets (Seattle)

[Jason Giroir]

I am looking for multi-families in Seattle. 4-6 units, give or take. Like many expensive markets, even if I can negotiate a better price, spruce up, and raise rents...I see pretty negative cash flows.  I'm sure this is a basic question, and I'm willing to look at a deal over the long term, but considering the high prices, the negative flows aren't trivial.

Open to advice, calculators, etc.  We've got $ to invest. 

Thank you

[Michael Haas]

There's a 6.4% CAP quadplex for sale in Georgetown right now - we passed on it because we're finding better returns on our other seattle properties. Unless you've got really rough financing though that should cashflow.

What’s worked for us in seattle is being patient and creative. There’s a lot of wealth here so if you want a good deal you have to wait for it, or look where others aren’t looking/aren’t willing to look. Good luck!