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Updated about 11 years ago on . Most recent reply
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Is there a big difference moving from SFH to Duplex/Fourplex??
First off, If this question has been asked already, I apologize! I searched far and wide to find a post that matched my question but could not find one that addressed this, so I will throw it out there!
I currently have owned a SFH rental for the past 8 years. Man, had I been on this site before I decided to jump into this game, I would have done things waaaaaay differently! That said., I have learned a lot in 8 years, as well as from this BP site. My niche, as I have decided, is going to be in small residential multi family investments. (for now) Is there a large learning curve you would say moving to a duplex or even a fourplex?? I am aware of some of the common differences such as, 2-4 different families, and demands for each, dealing with tenant-to-tenant issues, etc. From my experience it is really the same as issues I would be dealing with for a SFH just multiply by 2 or 3 or 4 times. The upside, is more cash flow, 1 vacancy does not account for 100% of PITI, etc. Can I get some feedback from those who have made the "jump" to a duplex, or fourplex and how hard or easy was the switch. What advice, tips, tricks, and successes can you share? Thanks, and just cant say enough about how great a resource this site is!!
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@Douglass Belt the big difference is in the type of tenants you get. As a rule of thumb, MF has a more transitory type tenant. They don't stay as long and in many cases, don't take as good of care of the place. It is more of an apartment mentality whereas many SFH tenants had been homeowners themselves and if you're lucky, treat the place as it were their own. The cash flow on MF can be good, but tread cautiously.