There are several things you need to consider when approaching a multifamily deal, but before you begin you need to do your research on the local market.
This means that you should know:
- Average rental prices,
- Price per door of the comps in the area of other multi family deals (size, age, neighbourhood, class of asset)
- Size of the job market,
- Local rental laws (eg rent control) and
- Projections for job growth in local services.
Once you’ve confirmed you’re buying in the right market, and you have identified a potential deal, ask the seller for (click here)