Keene NH multifamily

15 Replies

Hi there! I am a new investor from Oregon that is looking to invest out of state in multifamily properties. We have family near Keene and I am interested as those multi families are potentially in my price point. I do see high taxes but was curious if there are any other drawbacks to the area. I would be interested in connecting with other investors in the area as well.

@Dan Shanahan hey Dan! I’m a real estate investor and agent in Keene, NH and I also live in the city. You hit the nail on the head with property tax, it’s the highest in the state. Also, the water/sewer rates are quite high as well (really the only other lever the city has to collect revenue from its residents). However, rents are very high and do support the extra expense for the most part (depending on the property of course).

I’d love to chat more if you have any more specific questions regarding the area. Feel free to reach out anytime.

Hi @Dan Shanahan , I am a real estate agent and investor here in Keene. Yes the property taxes are high but when I bought my place I worked it into the numbers and they worked just fine. Basically trading off higher tax rates but for lower selling prices. Also the rental rates are good and seem to still be rising. Feel free to reach out if you'd like to chat or have questions I could help answer. 

@Dan Shanahan as a general rule, high property taxes tend to keep property values lower. We see this a lot in areas like Texas. If taxes were lower (like in CA) prices would likely be much higher.

@David Greene thank you! I recently read your book and it has inspired me to look outside of Oregon when I kept seeing similar issues with cash flow you referenced in markets like CA. Thanks for the book and the work you do on the podcast it’s a gift.

@Colin Schleifer unfortunately I don’t have experience using any PMs in the Keene area, as I’ve been managing my own properties thus far. However I am also currently on the hunt as I’m looking to scale up significantly. If I find any rockstars I will certainly share their info with you.

Keene is a wonderful city full of great people.  Cost of living in the city is high though and tenants have come to expect it.  I calculate taxes, vacancy and property management (currently self managing) into my figures and entertain the properties where the numbers cashflow.  It is possible to do well in the city on the right properties.

I don't believe there are any truly terrible neighborhoods to stay away from.  The college brings in a 3000 new faces every year. Main street is usually a very happening place. We do have our share of crime but it isn't anything that keeps me up at night.  I suppose the only drawback that I can think of is that all the buildings here seem to be built circa year 1900.  Be sure to factor for upkeep in regards to this and have a good building inspector go through before the purchase.  (references available if needed).  Keene is also founded on low-lying wetland.  In the last two decades we did see two significant floods which caused a lot of damage to a lot of property.  Flood insurance is a must in some areas and can be expensive. (also have references for this if needed).  

All-in-all, I love it here and believe buying my MF is one of the best things I have ever done. I am also interested in adding more units whenever this market cools down. Overall, Keene is a great place to call "home".

Originally posted by @Shane Moynihan :

@Colin Schleifer I have not used them personally but I know the person who runs Unicron Property Management, so you could try reaching out to her. Her name is Ann Connor, let her know I sent you!

 I’m also a local investor in Keene with one duplex under my belt and looking to build out a portfolio in the area. Looking at Claremont, NH as well as I see opportunity up there. Thanks for the referral for UPM. I’ll be giving them a call.

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