Triplex and quadplex

[Rachel Fazio]

Hi all,

I am foraying into the real estate world. I started off analyzing and making offers on SFHs, but nothing stuck as yet. I finally got to look at a bunch of duplexes this past week and have a offers pending, waiting to hear back on those. In the meantime, I have an appointment tomorrow to look at a triplex, and then - I guess just by sheer luck of putting myself out into the universe and being in the right place at the right time - I got a call today about a quadplex that hasn't been listed yet. 

All that to say - I feel like I've learned a lot about how to analyze SFHs and duplexes aren't that big of a jump. But can anyone point me to resources regarding how to analyze tris and quads? What would a good cap rate be for those in a class B vs. C neighborhood? What do you have to take into consideration that you don't necessarily have to account for with SFHs?

Thanks in advance!

[Samantha Magina]

I consider parking spaces, sounds silly but 2 cars per unit plus possible desire for guest parking means 8-10 spaces, which is a decent size parking lot assuming all cars need independent access. Outdoor areas are also a consideration. In SFH it's reasonable to include tenant lawn care in the lease, but tri and quads wouldn't. Consider if all utilities are separated out to the individual units, as that could become a substantial cost over time that is better passed on to the tenants (people are more responsible with utilities they pay for personally).