Should rent go down the higher up the unit is?

[Kyle Marsh]

Should the 3rd unit on a stacked triplex be lower than the second unit and so on? If every unit is the exact same size and layout my original assumption is that each unit should be rented out relatively the same. However, I talked to a realtor today who told me there was no way I could rent out the third unit for the same price as the first or second because you need to climb up two stories of stairs to get there. Any thoughts on this? Thanks

[Joseph Cacciapaglia]

This will vary a bit by market, but in general I expect a premium for first floor units in buildings without elevators. The difference between 2nd and 3rd is debatable. Some people prefer not to have someone living above them, so would deal with an additional flight of stairs to avoid the noise. How drastic the difference should be depends a lot on your target market. If you're in an area where most renters are young people, the stairs may not be as big of an issue as in a retirement community.