New guy from Alexandria VA / DC Metro area
Hi! I have lived in the area a few years now, and I plan to be located here for the foreseeable future. I grew up south of Boston towards the Cape, family on Long Island, and have spent some time in Harrisburg, Philly, Phoenix, and northern Texas, picking up loyalties to the Redsox and the Redskins along the way. Uncle Sam is my employer (until I achieve my freedom number of course) - pretty common in these parts.
I am completely new to REI and spend each day chipping away at the mountain of knowledge on this site, the BP podcasts, and some books I own. I think I would like to get started with a multifamily (4 units max) so I can utilize my VA loan and acquire solid cash flow. I am trying to find current resources that will show what districts/regions are most conducive to this, if the market is oversold, what the near future entails, and if it's even a wise choice at this time and in this region (perhaps I should look further south for instance). Rehabbing does not pique my interest at this point, but if it's the way to go, I am open to it.
Thanks for your time, this is exciting for me - I love to work a project, meet new people, and learn new things. Cheers!
Ben B.
Most Popular Reply
@Ben Baci multifamily housing is almost nonexistant in northern Virginia. You will find some multis in Richmond, but not a ton. You will find some multi's in DC, but again, not that many. The midatlantic does not have the stock of multifamily housing that you find in the northeast. There are historical reasons for the lack here, but I wont bore you with the details.
Another consideration, on cheaper properties, say in the under $300k price range...for some reason, the rents on these tend to be a bit stronger on the Maryland side of the border than they are in Virginia....so you will find a better price/rent ratio in Maryland. However you do pay a slightly higher transfer tax on the properties. If you are going to hold the property a long time, it is really doesnt matter....but if you are holding properties for a shorter period of time, it could be an issue. Also DC has a high transfer tax....but a lower assessment rate. Im also very wary of Baltimore due to their tax rate of 2.25% of the property value per year. This is more than double everywhere else in the DMV area. (They also over assess their properties).
- Russell Brazil
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