Looking for 1st duplex investment purchase

13 Replies

My name is Jeff Knox and have lived in Kansas City for fifteen years.  My wife and I are ready to purchase a duplex in the Kansas City Metro area with-in twenty miles of zip code 64145.  We are looking for a property that needs some TLC but not a total fixer upper.  Our goal is to purchase five rental properties in the next ten years for cash flow and eventually retirement.  We're excited to start this journey and have been and continue to educate ourselves on real estate investing.  

Hi @Jeff Knox and welcome. I'm currently investing SFH's in Kansas City and haven't had much luck finding multi units in decent areas. Let me know if you do come across any in a certain area and can maybe pick up one or two in the same area.

I like the Independence area and have had success with small multi's around there. It's maybe not Lee's Summit or Grandview in neighborhood quality, but I think it's a decent area (average schools, low crime) offering good CAP rates while staying out of "the hood".

@Christopher Suh What criteria are you looking for (as far as areas go)?

I live in and focus my investing in Independence.  There's absolutely no good small multifamily deals on the market right now. .. It's all junk! ...or way overpriced.

Chris Covell, I'm curious,  where do you find multifamily deals?

Originally posted by @Jeff Knox :

My name is Jeff Knox and have lived in Kansas City for fifteen years.  My wife and I are ready to purchase a duplex in the Kansas City Metro area with-in twenty miles of zip code 64145.  We are looking for a property that needs some TLC but not a total fixer upper.  Our goal is to purchase five rental properties in the next ten years for cash flow and eventually retirement.  We're excited to start this journey and have been and continue to educate ourselves on real estate investing.  

Welcome to BP!  I am buying in south kc and grandview.  I would be in Independence now but its a little far from my house.

If you dont find the duplex you are looking for consider starting with a SFR. They are much easier to find and do have some advantages.

Independence is a great area & does have some really good investment in duplexes as well as SFR. Cap rates are around 14-18%.

Also there are some south of the river that isn't too bad.

Are you purchasing partially rehabbed or fully rehabbed?  

@Aaron Brown I've found my deals primarily right from the MLS, though one was from a wholesaler. I agree it's all overpriced. I'm not paying near asking price, but instead show the sellers my numbers and analysis of what a fair price is. If they're willing to meet me most of the way then we might be able to come to an agreement. I recommend reaching out to sellers--even if it's overpriced--and put in offers (and justify your own valuation). I should do far more of that myself, but more often than not I don't set aside the time to do so!

@Christopher Covell  That's a good idea of submitting your financial analysis of numbers with your offer to the seller.  I hadn't thought of that! Thanks!

@Karen Barber  I see you're a wholesaler in KCMO.  I definitely am not seeing anything listed right now in Independence for duplexes that are a good deal... Do you have off-market listings? Are you talking about past deals?

We should connect! --I'm always looking for deals, so please add me to your list for multis and SFRs in Independence.

Originally posted by @Karen Barber :

Independence is a great area & does have some really good investment in duplexes as well as SFR. Cap rates are around 14-18%.

Also there are some south of the river that isn't too bad.

Are you purchasing partially rehabbed or fully rehabbed?  

Independence may be a little too far.  I like south of the river.  Do you have any for sell? 

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