Determining Multifamily Rent Rate

[Ewan Heinemeier]

I'm looking at an off market 30+ unit C class property in Texas City, a suburb of Houston.

I have the financials and am needing to figure out what the local average C class rents are. There are a number of A and B class near by, so I'm unsure how to determine what the rent potential is.

Any advice would be appreciated!

Thx

[Jonathan Twombly]

@Ewan Heinemeier.  When we diligence a property, we always "shop" the competitors.  Call them up pretending to be a potential renter and just ask them what the rents are.  Say you're coming for a one-year position and you are not sure if you are going to bring the family, so you want to know what the rents are on all the different layout types they have.  Be sure to ask about amenities so that you are comparing apples to apples.  Also make sure you ask if they are giving any concessions like free rent, free partial month's rent, etc.