Las Vegas Multi Family Homes

[Shiva Pradeep]

My investor and I are looking at Las Vegas multi family homes. Even the turn key properties are at great cap rate 7+ . Whats the catch? 

How is the vegas market. I want to connect with someone to discuss about it. Any help is greatly appreciated. =)

[Michael Coxen]

Hey Shiva, I don’t see many true 7 caps anymore in our market. Deeper research into them typically unveils compressed expenses and sometimes inflated rents. You’re also looking at D properties as @Alexander Felice mentioned, so be sure to budget for extensive cap ex and vacancies. There is still a flipping market, as @Louis Davis said. In the multi family space, I’m into ground-up development where I can essentially “flip” an under utilized asset into its highest and best use.