4Bed/4Bath Condos near NC State

[Ben Kirchner]

Has anyone invested in these 4 Bed/4 Bath condos right by NC State? They seem to come on the market quite often. My lender has a list of things needed from the HOA in order to approve a loan for a condo. Curious if anyone has gone through this process, if they were approved for a loan on it, and how the rental has worked out for them.

Thanks

Ben

[Andrew Kerr]

@Ben Kirchner I have owned several of these over the past decade. They work as great college rentals as you can rent them by the room. And there are a couple solid PM that have dozens of these unit.

@Tiffany Alexy sells a bunch over there. I use her as my broker.

The two big drivers are investors and parents of students. The parents tend to only own them for 2-4 years, then sell when their kids graduate.

The big challenge is most of them are bought in cash, so unless you come in at full ask or above, you probably won’t get one. 

The other thing is, they are non warrantable. Your traditional lender won’t fund them. The investor concentration is to high for Fannie/Freddie guidelines.