Coral Springs, Broward Florida Research resources

[Yaroslav Golubev]

Coral Springs, Broward Florida Research resources

BP members in Broward, Coral springs area, what websites do you find most useful? I don't have direct MLS access. I am trying to Buy a Multifamily 2-4 units with FHA financing. I have been reading and listing to podcasts for the past few months and now trying to use of the knowledge I have gained. I do have a real estate agent I am working with, I did get pre approval from a local Mortgage broker.Is the 1% rule realistic in Coral Springs? Should I be using the 50 rule? Trying to get a better understanding.

I am not rushing to buy a property and being that it would be my first property purchase I would like to be selective and not get caught buying a home from a flipper or at the high end of the market. I understand that property values have gone up however seeing a property that was bought for $199k 12months before and now listed 350k seems like not a sustainable number when looking at rents that increase is not justified from my understanding.

I understand because it's a FHA loan the equity I could add is limited because the MFH has to be in working order.

Ok now back to the topic,

What are most useful websites that local BP members find helpful when evaluating a property from a quick evaluation to a more in depth college grade microscope?

I listed a few I have right now

Coral Springs

http://www.coralsprings.org/

Records

http://www.bcpa.net/

Taxes

https://www.broward.county-taxes.com/public/

Neighborhood information

http://www.areavibes.com

Crime

http://www.coralsprings.org/government/other-depar...

Utilities

http://www.electricitylocal.com/states/florida/coral-springs/

http://calc.myenergy.com/average-bill/florida/augu...

Estimates ? I am trying to find some numbers for owning a MFH in Coral Springs 2-4 units that is owner occupied. Also for BP members that have bought a MFH 2-4 units in the past 12 months have you been able to use the 1% rule or the 50% rule in this market. Do you have helpful hints ?

Expense averages? Is there a Formula Local BP member’s use?

Water & Sewer averages?

Monthly Insurance?

200k properties

250k properties

300k properties

Landscaping?

$700 yearly

What other expenses am I missing when owning a MFH in Coral Springs?

Thank You for any help!!!

[Bryston Wisekal]

Yaroslav,

Congrats on getting ready to jump on a deal. I used to live in coral springs and have also been looking for my next opportunity near that area. From the research i have done, the 1% rule seems to be a dream in the south Florida market, especially the places that have seen appreciation at such high levels., since as you said, rent levels have not kept pace. Best of luck in finding one but since you are doing MFH and you are living in one of the units, you may be able to work with the numbers to make it work but I don't see how to make money at a .5% rule...

Taxes will vary by county but I would check the mileage rates and just apply them to the assessed value. If you look at the assessors site you can see what each property pays for taxes and since you would be owner occupied, you would also qualify for the homestead exemption. For rough estimates, look at about 50% of rental income to go towards maintenance, taxes, insurance, lawn care, etc. Be wary of owner paid utilities and plan accordingly. 

When running your numbers I would include the following:

Vacancy (8% would be conservative) in that market..institutional assets are seeing closer to just under 5%

Maintenance- I usually underwrite 5% of rental income-depends on the age of the home and the amount of defered maintenance

Capex- Most people say 1% of the property value annually-this also depends on the age of the home

Property Management-even if you self manage, you should still include it in your numbers. I pay 10% of monthly rents...

Reserves-I personally keep $3-5k per property (<$150k properties) because things will go wrong and they may not wait for year 2 after you've saved a couple grand from your maintenance or capex budget. For example, I closed on a SFH in July 2015 and just had a $3,000 bathroom repair...

Lawn care-depending on size of property-maybe speak with a local company for some general quotes

Utilities-This depends on who pays them in the particular asset you purchase..I personally avoid owner paid utility properties.

Hope that helps..