How Has Your Multifamily Investment Due Diligence Evolved?

[Nick Love]

Hey BiggerPockets community! 👋

The ever-evolving landscape of multifamily real estate investments keeps all of us on our toes. As the market dynamics shift, the way we analyze, evaluate, and close on deals must also transform. That got us thinking: for all you savvy passive investors out there, how has your approach to due diligence and underwriting evolved over the past couple of years?

1. Market Analysis: With growing markets, emerging hotspots, and others cooling down, how have you adjusted your regional and sub-market evaluations?
2. Deal Structure: Given the changes in interest rates and LTVs, has your ideal deal structure morphed?
3. Risk Management: In light of global events, economic uncertainties, and local regulatory changes, have you redefined what you consider a 'safe' deal?
4. Value-Add Opportunities: With the increased competition and compressed cap rates, are you more inclined to seek value-add deals? If so, which types of improvements are catching your eye lately?
5. Exit Strategies: Has your preferred holding period changed? Are you more focused on long-term cash flow or potential appreciation?

We're always eager to learn and share insights with our BP community. Plus, we're actively looking for partners to collaborate on some exciting multifamily opportunities. If you've got some insights or are curious about partnering up, let's dive deep into the discussion below! ⬇️

Cheers to smart investing and building a brighter future together! 🏘️💡