Key Factors To Consider
Good afternoon Everyone,
I've been interested in RE investing for awhile now, specifically multifamily. What are some factors to really consider when analyzing mulitfamily properties. I am really just looking at duplexes but considering properties with more units. TIA
Most Popular Reply
Buy in your local area and learn hands-on how to operate multifamily properties. Then you'll know how to manage a team to run your properties for you later on.
When analyzing the deal don't just consider rental income - debt service. I see a lot of newer investors significantly underestimate the expense side of the ledger.
Underwrite allowances for
- Vacancy, Prop Taxes, Insurance, Utilities, Repairs & Maintenance, a Reserve Account, and Property Management.