All Forum Posts by: Connor Lawson

These are all great points when determining a market/location to invest in. When looking at apartment complexes specifically, there are definitely a lot of factors to consider. I think you need to first decide what class you are interested in; whether it's Class A, B, C, or D. The class you pick definitely has to do a lot with your risk tolerance or the risk tolerance of your investors. If your risk tolerance is lower, you may want to go for more stable Class A properties. If you have a higher risk tolerance, you may want to target Class C value-add properties where your return potential could be higher(generally speaking). 

Once you determine the specific asset you're targeting, you can get into your market selection. People generally categorize markets as cashflow markets, appreciation markets, or ideally a combination of the two. Once again, the market selection weighs heavily on your investment strategy and risk tolerance. Once you have a market selected or multiple, there are also specific areas or submarkets within the selected market that will be best suited to your investment strategy.

When evaluating a specific area or submarket I think there are a lot of key factors to consider:

- Population and population growth

- Average household income and income growth

- Crime rates

- What are the schools nearby like

- # of Units under construction

- Absorption rate

- Rent growth

- Vacancy rates

- What employers are nearby

You want to obviously be as educated as possible on the markets you are looking into so that you can identify the best deals. I believe it is crucial to clearly define what type of assets you're targeting and then find the areas that best suit that asset and your strategy.

For bigger properties Michael Blank's Deal Analyzer is a good one

@Bjorn Ahlblad will do thank you!

Hi all,

I was recently laid off from a startup multi family investment group I had been with for a year and some change. While I was with this group I focused on the acquisition of value add apartment complexes in a few different markets. My work consisted of developing relationships with brokers, underwriting deals, developing a business plan for each property, negotiating, due diligence, and some capital raising. I thoroughly enjoyed the work while I was with this group and hope to continue building my skills in this space. I am looking to bring my skillset to a new group that is in need of some help. I would love to chat with anyone that is looking to add to their team.

Thank you!