Finding investments in Eugene, OR - NEED ADVICE

[Heather S.]

Hi everyone, I'm in the beginning stages of looking for an owner-occupied multi in Eugene, Oregon. I'm in Medford currently but will be moving up to Eugene in June or July. My initial plan was to use an FHA loan to buy a multi, live in it for a year, move out and repeat with the VA loan.

I made my own spreadsheet to analyze deals which includes cashflow, cap rate, CCR and DSCR. I've been feeding Eugene multis through it for months now and the numbers are just abysmal. They get a little better if I hypothetically enter 20% down, but they're still bad and I know I don't have that much to put down.

I know it's a rule of thumb, but finding something that even marginally fits the 50% rule is like spotting an albino unicorn. It's just NOT gonna happen. The same crap multis have been sitting on the MLS for months and the somewhat promising ones are snatched up within days.

So I'm looking for someone that has experience in the Eugene market to give me some advice. As a new investor with access to only FHA and VA loans, should I be looking at SFRs instead of multis? Are the general formulas touted on BP (1%, 2%, 50%) even useful in this market (I'm assuming no)? If not, what kinds of numbers work well here? Where is the market going? Should I even invest in Eugene?? Yell your thoughts at me!

Oh and thanks for reading :) Cheers