What to look for in new properties?

[Matthew Brzowski]

What do you look for in new rental properties? Prefer multiple or single family properties? The right price point? Fixer-uppers or full packages? What are the most important things to find in a new investment?

[Matt Higgins]

@Matthew Brzowski

Love to go where the competition isn't. Give me that 10-20 unit deal under 100k a door about an hour out from the metro. More important than the building is I'm looking at the owner. Are they managing it themselves? and if so, how are they managing it? Clearly the goal is to find someone who self manages and more importantly doesn't raise rents on a regular basis. Some of these deals are on the MLS & loopnet. Investors look at the building or the cap rate & disqualify it before digging into the numbers. Others analyze the deal on what the numbers are instead of what the numbers SHOULD be (not perform or could be). In Minnesota I would prefer any heat other than electric, property located on a busy road, in a town that has a growing population, in a city that does not require a rental license or permits, updated electric, garages would be a plus. I know GC always says he loves 100-1200 rent because "the next step is the street" well, I would disagree, I love taking 500$ rent to 700-800$ rent in rural areas to working class people. The key is being that hour out from the metro. Any further and finding handyman, qualified tenants, and management gets iffy

Hopefully this helps, we all have our own model, this is just ours