Multi Family within 30 min of Philly

[Bennett Schwartz]

Hi BP,

I currently live in Philly and have invested a bit in the city. Based on my experience it seems like that it's a lot more difficult to invest in the city as opposed to the suburbs. I would be interested in driving a bit out of the city to make it work. I'm looking for multi family (5-25 units) and interested in putting some capital into a multi to raise rents, in order to refi and cash flow.  

Does anyone have any suggestions on where to start looking? Anyone looking for a partner? Any help is greatly appreciated.

Would love to start a discussion to game plan on where to move out to.

[Dan Powers]

Hey @Bennett Schwartz, you are preaching to the choir my man. While finding a multi of that size in Philly is certainly not impossible, I often compare it to finding a unicorn. The majority of those properties tend to be sold in a matter of hrs, and are held onto for generations which is why it is such a rarity. Not to mention the high premium they demand. Honestly it's not worth your time to find a high priced multis when you could easily find one in Delaware County with the same if not better returns at a fraction of the price, and 1/2 the headache. 

There are many pockets in Delco where you can find multis, it all boils down to how much cash (or approved hard money) you have, and your comfortability with areas/tenants. The area with the most inventory of multis is Darby. That being said I won't sugar coat it, its not he best area but its certainly not the worst, there's plenty of data to support the investment and growth of the area, and why its been such a popular place for investors recently.

Besides Darby, there are plenty of other areas for multis all over Delco. Folcroft, Sharron Hill, Collindale, Glenolden, Lansdowne, Yeadon, Aldan, Folsom, Ridley Park, Woodlyn, Morton, Clifton Heights, are all areas where you will see multis come up. The benefit of getting a multi in Delco is reduction in price over that in the city. While the price will be lower, the rents will still make it very worth your while in terms of cash flowing and refinancing out. Not to mention the transfer tax is 1/2 compared to Philly. 

If you have any more questions I can certainly provide more insight, and would love to converse more.

Dan Powers - Real Estate Agent