Which market to invest in?

Question

How do you select which market to invest in for multifamily. Example if you find a property, how do you research if that property is in a good market?

Shalini Kadaveru · Answer

Hi @Freddie Williams, In selecting markets you must consider the ff:1. Check-in your backyard - but keep in mind that very expensive properties don't cashflow, be wary about rent controls, and if are there micropolitans within reasonable driving distance?2. Cities where you have an unfair advantage🗸 where you have family-visit there often🗸 lived in the past🗸 went to school🗸 go on business trips frequently🗸 residence of one of your business partner🗸 frequently like to vacation3. Cross-check with few industry reports|IRR - liek population growth and job growth4. Pick submarkets within the metro. Rely on a broker and property manager to give you feedback.5. Ask yourself whether do you want to do this yourself? or with a select group of partners?What Not To Do?X Don't spend too much timeX remove friction X points right awayx 3hr+ flight - you'll X probably won't do it.What To Do?🗸 Shortlist 2-3 cities and start building your team with broker and property manager. Proceed with where you get momentum.🗸 Get a momentum by placing LOIs🗸 Ask for co-star reports from your broker dev market knowledge.Hope this helps!

Andrew Bang · Answer

Main questions to ask:

1. Will the property appreciate

2. Will the property cash flow

3. Do I have a team in place to buy, rehab, rent, refinance, and manage at this location.

How do you research if that is in a good market.   #1 don't ask a Realtor in that market.  Every Realtor loves their own market and loves to make commissions.  2. Look at other posts on here about best cities to invest in if you are an out of state investor, also zillow compiles alot of data.

Alex Talcott · Answer

It starts with your personal goals/needs and standards.

Which market to invest in?

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