Real Estate Agent · MA · Member since 2022 · 16 posts · 9 votes
I'm looking to purchase some value add multis in Worcester for buy and hold. Most of the properties I've looked at, even those that are off market, seem to be pretty close to market rate once the rehab costs are rolled in. I've spoken to a few local investors that seem to have conflicting opinions. A few people have told me they're buying at market rate and focusing on potential cash flow even if their return is very small while others have told me that they're shifting strategies to flips or looking to buy elsewhere.
For those of you still buying in Worcester, are you looking for immediate cash flow, banking on equity increase, or focused on flipping?
@Matthew O'Hara - Immediate cash flow. I buy multis that offer the ability to bring rents close to market quickly and aim to have them above the 1% rule. To your point, it's hard to find a value add on the market right now that isn't priced retail once you take the renovation costs into account. This is how I've built my portfolio of 24 units in Worcester.