Investor · Rochester, NY · Member since 2016 · 3 posts · 0 votes
I posted one of my properties on affordable housing website. The allowance for a 2bed apartment in that zip code according to the Rochester Housing Authority is $1775. I priced my unit at $1700, which is slightly higher than market rate (maybe $1600), but I've had 0 inquiries.
My listing has a grand total of 5 total views over a week period even after I "boosted" the listing. Am I missing something? Is there just no demand for my area? Looks like there hundreds of "prospects" looking for 2bed units and this would be within the allowance.
Stephen, 5 views in a week tells me the listing is not being seen, not that there is no demand for a 2BR at $1,700 under a $1,775 allowance. Check the listing first — complete details, clear photos, and the right bedroom count and rent showing. A boosted listing still needs to be found.
In Memphis I run 3BR and up for a reason. A 2BR rents for less and sits longer. A 3BR hits the Section 8 rent band and the 1% rule much easier. My band is $1,395-$1,950 for 3BR and up, buying single-family under $100K with ARV $180K-$265K.
If this stays a 2BR, I would not force it. I would run the numbers cold, and if the rent does not hit the 1% rule, move on. Deal flow is the bottleneck, not finding one listing to fix.