#Bedrooms in a multifamily

[Leigh Jones]

Hey all.

I have 3 SFH rentals and Im thinking of doing a multifamily next.

In Brandon's books he really sells me on ONLY doing 3bd/2ba. Is he mostly referring to SFHs, or multi-families, too?

A lot of the multifamily deals in my area are duplexes or 4-plexes with 2bd/1ba per unit.   Wondering if I should only be looking for 3/2s or if that "rule"/"suggestion" only applies to SFHs. 

Any input and pros/cons will be helpful. Thanks :-)

[Sandy Gabin]

Hi, 

I will be honest with you, I have never read any of Brandon's books but I do listen to every webinar he does. It's really your decision on what you want, because if there isn't any property with Brandon's recommendation, then you can always buy properties with what they have. I have 2 SFH's and 2- 4 unit multi-properties. And all have one small bathroom except for a one bedroom that I wasn't aware that it had a second 1/2 bath. These were properties that I found it as an opportunity and it is increasing my portfolio. If you find a good opportunity, then go for it, at the end of the day, you want to grow wealth wise. Good luck!

[Kenneth Garrett]

@Leigh Jones

When Brandon states 3/2, he is referring to SFR. It is dependent on your particular market. I have a number of 3/1 they rent just fine. On the multifamily front you rarely have 3 bedroom units. You are correct he is referring to 2 bedroom units.

[Leigh Jones]

Thanks, you two, for your input! 

[Dustin Davis]

@Leigh Jones nice to connect with you earlier... to answer this question I think you've got to really sit down and determine your strategy. Long story short I'd say that a 3/2 is easy to rent and easy to turn and in the end with a SFH will get you the most return in appreciation for your $ when you sell... HOWEVER... personally I love 2/1s, 2/2s, and especially 1/1s... if you've got the discipline and processes in place for managing them they will yield more $$$ in cash flow than the 3/2. Plus they maintain rent and are easier to turn during a recession. Not to mention during a boom they tend to demand more $ per sq/ft than a bigger home... I'll give you an example you can relate to... I've got a 4/2 SFH off Gulley Park that rents for $0.90 a ft ... super nice and a hot area... 1/2 mile away off Green Acres I've got a building the same size holding four 1/1s getting $1.90 a ft with similar finishes. The 1/1s are easy leasing with massive amounts of applications... the 4/2 takes a special group/fam and therefore way less applicants. In the end you've got to figure out what type you enjoy and what leases in your area... hope this helps.

D