Newbie Investor - Wanting to start in Small Multifamily

Dallas, Texas
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Newbie Investor - Wanting to start in Small Multifamily

Oliver Powell
New to Real Estate · Dallas, TX · Member since 2021 · 2 posts · 2 votes

Hi everyone!

I've looked into investing in real estate for quite some time. The path that aligns with my investing goals is small multifamily.

I would love to learn as much as I can from the community.

I am excited for what's to come!

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  • Randall AlanPro Member
    Investor · Lakeland, FL · Member since 2017 · 1k+ posts · 1k+ votes
    2y
    Quote from @Oliver Powell:

    Hi everyone!

    I've looked into investing in real estate for quite some time. The path that aligns with my investing goals is small multifamily.

    I would love to learn as much as I can from the community.

    I am excited for what's to come!

     @Oliver Powell

    Hi Oliver,


    Welcome to Bigger Pockets!

    While multi-family is a perfectly good place to start, I would tell you that it is often more competitive than single family homes… maybe just due to there being less of them in general, and being more desirable by investors.  
    When we first started we began there as well because we liked the idea that one side  could pay for the mortgage if there was a vacancy.  But we soon came to realize that we could re-rent a unit in a matter of days as long as we had proper notice from the tenant.  So if we were given 30 days notice we could turn on our marketing, screen applicants and almost always dovetail  the new tenant’s move-in to within a few days of the old tenant exiting.  By being open to single family homes as well it really increases your choices, and for us, reduced the cost per door of acquiring our properties.  In short, the vacancy concern was far less of a concern than we thought. 

    Just a thought for you as you begin your journey.

    Randy 

    0Reply
  • Robin SimonBusiness Member
    Lender · Austin, TX · Member since 2022 · 5k+ posts · 4k+ votes
    2y
    Quote from @Oliver Powell:

    Hi everyone!

    I've looked into investing in real estate for quite some time. The path that aligns with my investing goals is small multifamily.

    I would love to learn as much as I can from the community.

    I am excited for what's to come!


     Welcome! Sharing an article I wrote last year on BiggerPockets on financing options for small multifamily investment properties in case it helps!

    https://www.biggerpockets.com/blog/multifamily-dscr-loans

    [email protected]
    Harpoon Capital514 Reviews
    WebsiteView Page
    0Reply
  • Oliver Powell
    OP
    New to Real Estate · Dallas, TX · Member since 2021 · 2 posts · 2 votes
    2y
    Quote from @Randall Alan:
    Quote from @Oliver Powell:

    Hi everyone!

    I've looked into investing in real estate for quite some time. The path that aligns with my investing goals is small multifamily.

    I would love to learn as much as I can from the community.

    I am excited for what's to come!

     @Oliver Powell

    Hi Oliver,


    Welcome to Bigger Pockets!

    While multi-family is a perfectly good place to start, I would tell you that it is often more competitive than single family homes… maybe just due to there being less of them in general, and being more desirable by investors.  
    When we first started we began there as well because we liked the idea that one side  could pay for the mortgage if there was a vacancy.  But we soon came to realize that we could re-rent a unit in a matter of days as long as we had proper notice from the tenant.  So if we were given 30 days notice we could turn on our marketing, screen applicants and almost always dovetail  the new tenant’s move-in to within a few days of the old tenant exiting.  By being open to single family homes as well it really increases your choices, and for us, reduced the cost per door of acquiring our properties.  In short, the vacancy concern was far less of a concern than we thought. 

    Just a thought for you as you begin your journey.

    Randy 


     This is great feedback. Thank you for sharing!

    0Reply
  • Max Wilhite
    Member since 2024 · 225 posts · 86 votes
    1y

    Hey @Oliver Powell

    Welcome to the bigger pockets family.

    0Reply
  • Kristin Flores-Brockman
    Real Estate Agent · Fort Worth, TX · Member since 2021 · 142 posts · 59 votes
    1y

    Definitely a great option! How soon are you looking to buy and do you know what areas?

    0Reply
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