All Forum Posts by: Brad Kelly

A "good deal" is dependent upon your idea of good return. For me, you need to look at a few things. First your cash on cash return, next your overall cash flow, then your debt service coverage and finally your appreciation gain potential. You have other things to look at as well, such a neighborhood type, economic factors, government influences, management factors, building type, financing structure and age and overall business plan/strategy.

@Brad Kelly our metrics are at 9% CoC return over the life of the investment, usually 5-7 years. 15% IRR. And at least 1.5 DSCR

Get a buyers broker. It does not cost you anything, they have the analysis tools and pulse on the market. If you wanted to learn yourself, check out the bigger pockets free software. Analysis is only as good as the information you put in - Garbage in, garbage out!

But to answer your question, here is my analysis template that shows the initial metrics I look into. 

Do you have a definition of a "good deal"? 

Not quite yet... and my question probably wasn't well structured on second thought :). I know I want to focus on Multi Family. But I am not sure which cities/regions i want to be in. And I just dont want to say hey what's a good market to buy in!? I more want to understand what makes a market suitable for a multi-family investor. So I am curious what metrics other multi-family investors look at when entering a market. Population Growth, Unemployment, Median Income, Sources for jobs etc.... any thoughts?