Updated almost 6 years ago on . Most recent reply
Investing in Studio Apartments?
What is everybody's opinion on investing in studio apartments in bigger metropolitan cities where the rent meets the 1% rule of the purchase price?
It seems like a way for me to invest at a lower price point without going to areas in the Midwest I've never been too.
Most Popular Reply
I have one studio apartment which I purchased about 2 years ago in a more expensive area. The property cash flows well and has worked out so far. I do agree with @Haseeb Awan when he said there is little to no value add since you are limited with possibilities of what you can change. When looking at apartments you really have to do your research on the reserve funds, past special assessments, and whether or not there are limits on the % of rentals allowed in the building. If the cash flow is there and you do all of your due diligence it can be an opportunity.