What ROI are you looking for in a Multifamily in Columbus, OH?

Question

Just curious what everyone's preference is. Obviously we all want to make as much as possible but what's the minimum? I've heard 24% for some and others at 18%. But it seems to vary depending on the side of town.

Robert Ellis · Answer

I think cash on cash return and assumptions can really change ROi, so when i compare projects it's always using 100% cash. What kind of return on your investment would you get. Leverage, modeling, saving for vacancy and capex, etc are all decisions each investor makes. Management vs non management can add 10% to your bottom line. We focus for our investors to always beat the market by 5-10% on the purchase and have value add always. I think if you do that enough you'll end up ahead.

What ROI are you looking for in a Multifamily in Columbus, OH?

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