Anchorage AK multifamily

[Lane Smith]

I am always looking for reasonably priced 4 plex units. There is a massive shortage of these in my area and ones that do hit the MLS are sky high in price. I have seen quite a few in the anchorage AK area and since I wouldn't mind an all expenses paid trip to Alaska:), I thought about buying a couple up there. The property managers I talked with seem knowledgeable and their management prices seem reasonable (7-10% depending on # of units). Does anyone have experience with multifamily in Anchorage? Any advice on which properties do better up there, recommendations on management or really any advice for that area is much appreciated. TYIA

[James Cash]

@Keenan Fitzpatrick is the man to go to for MultiFam deals!

I agree with your statement @Lane Smith. If you're going to buy a "deal," you're probably not going to buy it in a hot market (which it is right now), getting that deal from the MLS. You're either going to have to buy off market, or buy a rehab project. That said, there are good deals out there on the MLS numbers wise in rougher areas, but of course, you're going to get all the things you'd expect with it, when you buy in rougher areas.

My typical advice for some one buying a multifamily is buy in shoebox style - AKA - a big rectangular building, with the units being smaller rectangles in them - a fourplex - four shoeboxes within a shoebox. Why? Cost of construction and footprint of land. As opposed to buying "townhouse" style fourplexes, the cost of construction of these and the smaller footprint they take up on a lot means that they will be sold for less, but not necessarily rent for less. One poured foundation, one roof, etc.

Either self manage, or vet your management company super hard. Having a solid property management company here in AK is pretty hard.