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Updated over 4 years ago on . Most recent reply
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Section 8 strategy with High BR count
I currently have several 2&3 BR section 8 rentals that do ok in the Baltimore City area. Rents for very nicely renovated units are $1000-1100 for the 2BR apartments and $1325-1450 for the 3BR row homes. I have recently seen a few 4-5 BR section 8 rentals that are only have a few hundred square feet more than my places. They are getting $1700-1800 for the 4BR and $2100 for the 5BR. I assume that more BR = more kids which of course means higher wear and tear. I wanted to know if any else is targeting this higher BR count section 8 tenant profile and how it’s worked out for you. Seems like I could get the same benefit of a higher rent per BR like small multi family produces.
If I can identify properties that could qualify as true 4-5 BR and renovate them with the wear and tear in mind, they should cash flow considerably better than the basic 2-3 BR units. Opinions?