Investing in brick multifamilies

[Edward Schenkel]

Is there any disadvantages / advantages to investing in brick multifamilies v. the more traditional types of multifamilies? I am wondering about maintenance, value over time, etc.

[Matt Z.]

@Edward Schenkel my experience is specific to the space I operate in, which is small mutlifamily in the top tier parts of New Haven:

- Property value for brick will be slightly higher (assuming average or better condition brick)

- Property tax for brick will be a bit higher, all other things equal. Proportionally, the amount of extra tax paid is slightly inflated versus how much extra money you'll make on a sale. 

- You won't get additional monthly rent from brick. But keep in mind...

- ...an attractive house is an attractive house, an ugly house is an ugly house. Rentability and achieving full market rent is easier with an attractive house, even if the interiors are equal. Old brick houses in my area are often very attractive.  Original wood clapboards are if they were maintained.  Siding encapsulations and beat-to-hell wood clapboards tend to be the biggest losers. 

- On old houses, yes, brick will require some maintenance.  Relatively expensive, but also not needed often. But painted clapboard I believe will likely need far more frequent maintenance, though at a lower cost each time. 

- Here's the wildcard: In the areas I operate, many small MF are being converted to Condos or owner-occupied SF.  This can be a quite lucrative exit strategy, or partial exit I suppose if you are going to manage the condo.  Good-condition Brick houses are a candidate for these valuable conversions, as are houses with original wood clapboards with nice detailed trim, also in good condition.  Wood w/ rot and covered in flaking lead paint?  Nah. Vinyl, Aluminum, or Asbestos?  Hell no. 

@Filipe Pereira Any quick suggestions for mortar for minor repointing of a brick + stone foundation?  Late-1800s soft brick.  Care more about not using a too-hard mortar and damaging the brick, more than finding a perfect visual match.  It's all been painted multiple times anyway.