Norristown PA Multi-family

[Rafal K.]

Hi BP

Anyone have experience renting or rehabbing multi-families in Norristown PA. Looking for general thoughts on the process of finding renters, keeping them, rehabbing in Norristown and the experience. Looking to potentially rent muti-families in Norristown, PA.

Thanks

Rafal 

[Jon Graboyes]

Norristown is a great cash flow opportunity. However, I would not project any property appreciation during ownership. Many tenants in Norristown are Section 8, and the Montgomery County Housing Authority, which administers the Section 8 program is located on Main St. in Norristown. You can certainly get much higher rents renting to Section 8 tenants (subsidy + tenant portion), but you'll also have to pass a Sec 8 home inspection and deal with other program compliance. The local building department has a reputation for being challenging to work with, and many homes/parts of Norristown have historical designations. I would avoid any historic property, as your renovation costs will be several times more expensive. Also, be mindful that Montco has extremely high property taxes.