Finding my First Deal
My business partner and I are looking to invest in our first rental investment property. We have analyzed over 100 properties in the Greater Boston area over the last month, including visiting 35+ in person. I am quickly realizing it's difficult to find 1) properties which meet the 1% test, and 2) properties which cash flow positive from year 1 (unless we increase our down payment from 3.5% to something much higher).
I would like to get two pieces of advice from the Bigger Pockets community in Massachusetts. First, I would love to know what areas investors have been finding good deals around Massachusetts. We have started our research in Somerville, Medford, Malden, Everett, Lynn, and Salem, MA. My partner is already giving up and wants to leave the state. While I am not opposed to that, I am confident there are plenty of great deals in our state - we just haven't found them.
Second, I want to ensure my financial analyses are as accurate as possible for each property, mainly my assumptions around estimating expenses. If you could share with me how you estimate many of your operating expenses I would appreciate it.
Happy investing,
Ryan Emrich, CPA
Medford, MA