Massachusetts MFR Investing

9 Replies

BP Community -

Just want to pick your brains on what's been working in the Massachusetts area in terms of MFR. Worcester is generally my go-to but it has been over saturated in terms of rentals as of late.

Victor

Medium sbpm logoVictor Eng, Scudder Bay Property Management | 781‑462‑5537 | http://www.scudderbay.com

In full disclosure I don't own any MFRs but i have heard  Fitchburg and Lowell. Lynn and Malden were hot for a while but the price/rent ratio is not as good there. I am sure someone with firsthand experience will chime in. Good luck!

Medium aa real estate logos final groupRobbie Reutzel JD, AA Real Estate Group | [email protected] | 781‑281‑7643 | http://aarealestategroup.com/from-the-ground-up/investing/rob-reutzel-joins-aare-group/ | MA Agent # 151059

@Victor Eng  

Welcome. Brockton, Taunton, Fall River and New Bedford are good rental markets. Time to build the foundation below.

Two Great reads, I bought both J. Scott The Book on Flipping Houses,The Book on Estimating ReHab Costshttp://www.biggerpockets.com/flippingbook

Locate and attend 3 different local REIA club meetings great place to meet people gather resources and info. Here you will meet wholesalers who provide deals and all the cash buyers (rehabbers) you will need. South of Boston there are meetings in Taunton, Rockland, Plymouth and Cape Cod.

You might consider Niche or Specialized Housing like student housing. Rents can be 2-4 times more. Remember you don't have to own a property to control it.

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Good luck

Paul

Leominster is a good rental market.  Closed on a 6 unit 3 months ago, with a purchase price of $235k, with gross annual rent of almost $49k ($4050 month).  Just shy of the 2% rule at 1.7.  Disclosure:  Not my personal investment.  Purchased as an agent for an investor client.  Best of luck on your search.

Brian Ortins, Ortins Group | [email protected] | 978‑979‑5007 | http://www.ortinsgroup.com

@Paul Timmins what makes those rental markets good? How are vacancies in that Area if you don't mind sharing? Typical rents for a MF 3 bdrm?

Thanks for the replies all.

Medium sbpm logoVictor Eng, Scudder Bay Property Management | 781‑462‑5537 | http://www.scudderbay.com

Hey @Victor Eng  , I invest in Lawrence and Haverhill. The typical rent for a 3 bedroom one bath ranges from 1,150 to 1250 if their in good condition and all the way down to 800 if their substandard. I bet everyone else would agree vacancies are at historic low right now, probably hovering around 3% in most areas but i wouldn't put that in your assumption when looking at the property.

Like @Robbie Reutzel  mentioned Lowell has some strong rental areas especially around U lowell. You can get higher rents if your property is located close to the university. 

Medium four point individuRob L., Four Points Property Management | [email protected] | 978‑360‑7817 | http://www.fourpointspm.net

@Victor Eng  

I don't own anything in MA yet, but I'm going to start looking in Fitchburg.  It has a college, decent pricing and I have some inside info through a family I know out there (10 kids grew up there :) ).

Bear in mind you have Casinos coming into Everett and Springfield.  There should be a bit of resurgence there in the near future.

There is an investment meeting in Reading tomorrow night.

@Aaron Montague  I missed that meeting in Reading yesterday, but I work super close to the area. What is that group called and do they meet regularly in the same spot?

Medium sbpm logoVictor Eng, Scudder Bay Property Management | 781‑462‑5537 | http://www.scudderbay.com

Originally posted by @Victor Eng :

@Aaron Montague  I missed that meeting in Reading yesterday, but I work super close to the area. What is that group called and do they meet regularly in the same spot?

It is The Boston Investors Meetup.  It meets quarterly.  First time in this exact location but I think that is where it is for now, and if it moves it will be in the general area.  A couple times it has been on location at a finished rehab project but only if it is in that general area.  It is put on by @Justin Silverio  so get him your contact info and he will get you on the mailing list.

Medium rre logo web rgb w motoShaun Reilly MBA, Reilly Real Estate, LLC | [email protected] | 1‑800‑774‑0737 | http://www.MassHomeSale.com | Podcast Guest on Show #43

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