Favorite Multifamily Markets

[Garrett Sanford]

Hey guys, I am not new to BiggerPockets, just new to the forums. I want to start becoming more active in the forums so I figured Id start with something Im sure everyone is asking right now.

What are some of your favorite multifamily markets to purchase in and why? Living in Orlando things are crazy overpriced right now that I cant seem to find anything that would cashflow, so looking to branch outside of my backyard. Iv heard talk of Cleveland, but not being too familiar with the area, it seems like there are dramatic differences from block to block.

On that note...anyone from Cleveland that has any "Golden Rules" to share? (Iv heard stay west of Cuyahoga River, but thats about it)

[David Thompson]

Hi Garrett,

I'd still stay in the big cities and southern belt.  I know its tempting to chase higher yields in the secondary and tertiary markets but we like the job growth, industry breadth and especially cities w/unique logistics / supply chain epicenters like Dallas and Atlanta.

My top markets would be:

1) DFW and Atlanta - uniquely positioned for the Amazonization of the supply chain across industries.

2) San Antonio  - highest population growth rate in the U.S. for size MSA last year.  Often overlooked to more hot plays like Dalla and Austin.  Growing tech and bio tech.  #1 for college grads.

https://therivardreport.com/census-data-san-antoni...

3) Houston - emerging; tail winds of reconstruction spending / oil firming up.  

4) Albuquerque - defensive.  No apartment more than 50 units was delinquent in their mortgage during the last downturn.  

5) Phoenix - my home town, much more diverse, don't be fooled by what happened in 2009, that was not Phoenix but a result of dumb lending practices fueling speculation.  Sun Belt state continue to attract jobs and retirees.

For my take on why the trend to big city investing not only trumps smaller city investing and will continue to accelerate check out this blog.

https://www.biggerpockets.com/blogs/9145/66626-why...