Any investors looking at Washington DC for Multifamily

[Gus Delgado]

Currently looking into the DC market for multifamily, but seeing a lot of negative information related to fraud, TOPA, pandemic relief for tenants, etc. I would love to talk to someone that has experience on this market and could tell me a bit more about it. 

I would love to meet up if in the area!

[Russell Brazil]

Quote from @Gus Delgado:

Currently looking into the DC market for multifamily, but seeing a lot of negative information related to fraud, TOPA, pandemic relief for tenants, etc. I would love to talk to someone that has experience on this market and could tell me a bit more about it. 

I would love to meet up if in the area!

 I mean, pandemic relief for tenants was 4 years ago. Who cares about that now?

DC does have TOPA. It's only a problem if you're working with an agent that doesn't have TOPA experience. Intricacies are a little different depending on if it's the buy side or sell side.

[Jack Seiden]

Quote from @Gus Delgado:

Currently looking into the DC market for multifamily, but seeing a lot of negative information related to fraud, TOPA, pandemic relief for tenants, etc. I would love to talk to someone that has experience on this market and could tell me a bit more about it. 

I would love to meet up if in the area!

Not a fan of D.C. multi family right now prices are high with rates very hard to cash flow and unless you are playing in the 1.5mil+ you are in at best borderline neighborhood’s & also competing against a ton of newer apartments in most cases. I’d honestly rather just look at buying one off condos at this point, probably not gonna cash flow either but at least you take some risk off the table and can get into more stable areas with less construction (mainly NW) 

[Gus Delgado]

Thank you all for the feedback! Seems like there are some deals to have in DC. TOPA still a concern but how much of a concern is it for the buyer? It seems like this would be more on seller side.

[Russell Brazil]

Quote from @Gus Delgado:

Thank you all for the feedback! Seems like there are some deals to have in DC. TOPA still a concern but how much of a concern is it for the buyer? It seems like this would be more on seller side.

 TOPA is neither a big deal for a buyer or seller if you are working with an agent and title company with extensive TOPA experience. If you are not working with those, then TOPA can be a giant problem.  

[Jack Seiden]

Quote from @Gus Delgado:

Thank you all for the feedback! Seems like there are some deals to have in DC. TOPA still a concern but how much of a concern is it for the buyer? It seems like this would be more on seller side.

It’s not a deal breaker for the buyer, just a pain and occasionally a time suck, it absolutely can be an issue when you sell, not something that can’t be overcome but something that can cost time, money, effort, which again is why I’d just much rather be in condos than multi family all things equal, the per unit savings aren’t even that big in large swaths of D.C.

[Marcus E. Turner]

I appreciate your interest in the DC multifamily market. It's true that there are several challenges currently, including issues related to fraud, the Tenant Opportunity to Purchase Act (TOPA), and pandemic relief measures for tenants. Engaging with someone experienced in this market could provide valuable insights. 

[Chris Seveney]

@Gus Delgado

We just got a list of around $20M in defaulted multifamily loans in dc 5-20 unit properties

So it will be interesting to see how they shake out but there are gonna be some opportunities in DC - as mentioned know TOPA but don’t run from it