Is anyone concerned about eventually being able to sell their multi-family properties? I don't know if its because I'm on the younger side but I feel that younger families are looking for that perfect single family home and not necessarily looking to house hack. Even appealing to investors is hit or miss dependent on the buyer. Even if its a good property, I'm concerned that price drops will be required given the niche appeal of such a property. I'm not looking to sell just thinking out loud. I guess the rates and current climate have me thinking.
Is anyone concerned about eventually being able to sell their multi-family properties? I don't know if its because I'm on the younger side but I feel that younger families are looking for that perfect single family home and not necessarily looking to house hack. Even appealing to investors is hit or miss dependent on the buyer. Even if its a good property, I'm concerned that price drops will be required given the niche appeal of such a property. I'm not looking to sell just thinking out loud. I guess the rates and current climate have me thinking.
Honestly, with the housing shortage in Columbus, I am not worried at all. I bought my properties and plan on holding them. There is always going to be someone who needs a place to live. Even if the market goes down for a little bit, it will always come back. I wish I would have bought or been able to buy during the first crash. Those people sold at incredible rates once the market went back up again. I was listening to the BP podcast #635, it says you have to get over the fear.
Is anyone concerned about eventually being able to sell their multi-family properties? I don't know if its because I'm on the younger side but I feel that younger families are looking for that perfect single family home and not necessarily looking to house hack. Even appealing to investors is hit or miss dependent on the buyer. Even if its a good property, I'm concerned that price drops will be required given the niche appeal of such a property. I'm not looking to sell just thinking out loud. I guess the rates and current climate have me thinking.
Honestly, with the housing shortage in Columbus, I am not worried at all. I bought my properties and plan on holding them. There is always going to be someone who needs a place to live. Even if the market goes down for a little bit, it will always come back. I wish I would have bought or been able to buy during the first crash. Those people sold at incredible rates once the market went back up again. I was listening to the BP podcast #635, it says you have to get over the fear.
Lender · Omaha, NE · Member since 2008 · 1k+ posts · 1k+ votes
3y
Commercial multifamily values are generally based off of the NOI and prevailing cap rate. Investors buy the cashflows, they aren't going to be living there.
People can want a perfect single family home all day long, but they still need to live somewhere they can afford. There is a nationwide housing shortage with no end in sight, so multifamily will continue to sell just fine as long as they are priced correctly and vacancies continue to stay low.
Real Estate Agent · Los Angeles, United States · Member since 2021 · 392 posts · 162 votes
3y
Not if you're in LA or most of CA for that reason. I'm representing a lot of investors and find that multi-family properties are still a very hot commodity - even in a cooled-off market for retail buyers. The bottom line is that housing shortages combined with large population sizes yield less supply and more demand for housing. :)