Hi all, My friends and I are first-time investors looking to invest in a multifamily in Mountain Brook. It is a 400K property with 3 rental units with a collective rent of around 3200. The house needs about 15K of work and taxes are $8000. The location is pretty decent. Can someone experiences in Birmingham market guide me
my specific questions are : if this is a good investment ?
We are more comfortable with UAB, hoover, Mountain brook, Homewood area are so should we try to stay there or look into Section B,C areas like Roebuck, Center Point etc like it has been suggested on this forum before?
Thank you for your valuable inputs.
Seems way too expensive for a 3 bedroom. Not even 1% rule and taxes 8K?? I would stay away.
Sorry meant 3-unit.
Keep in mind your rent to price ratio is much lower because mountain brook is the top area there. You could go to a lower class area and get better returns, but the question is can you stomach those areas?
I just saw op lives in birmingham so they should know if the better area is worth it to them, Some people joke the rich people in Mountain Brook have never left the area much less Centerpoint and Roebuck.
Thanks for the inputs. I have decided not to invest in that property( or that area for that matter) after reading your comments. Greatly appreciated.
Curious as to where exactly it is and what type property. You mentioned a house, is it a single-family? I live in the area so more info would help me give you a better idea. It definitely is a very stable market
English village lane, SFH