Year Built / Age Requirements

[Jeff Jenkins]

Does any one have a recommendation for screening multi family / apartment deals by year built or age? I notice that several of the deals on Loopnet.com are older properties.

[Eric Belgau]

In addition to asbestos liability, lead paint was used prior to being banned in 1978, and there are a lot of properties built or rehabbed during the 80s that have aluminum wiring...although that's mainly a problem in smaller multi-family homes or converted single-family homes.

However, the age of the property isn't necessarily a liability. The effective age is more critical, meaning how recently the major systems - plumbing, electrical, roof, etc. - were updated. A 100-year-old property with an effective age of 20 years that passes inspection might have advantages over a property that was built at lightning speed during the real estate boom.