All Forum Posts by: Brock Burton

In the first quarter of 2023, the average rent for a one-bedroom apartment in Phoenix was $1,398 per month, representing a 5.4% increase from the previous year. Additionally, the vacancy rate for multifamily properties in Phoenix remained low at just 4.1%, indicating continued high demand for rental units. 

One of the key drivers of the multifamily market in Phoenix is the city's booming economy. Over the past few years, Phoenix has seen significant growth in industries such as technology, healthcare, and finance, which has led to an influx of high-paying jobs and a growing population. In fact, Phoenix was recently named one of the top 10 cities in the U.S. for job growth and has been attracting both young professionals and retirees.

As the population continues to grow, demand for rental properties is expected to remain high. This has led to an increase in new multifamily construction projects throughout the city, with developers looking to meet the demand for new and updated rental properties.

In addition to new construction, there has also been a trend towards renovating and updating existing multifamily properties in Phoenix. Many landlords are investing in upgrades to their properties in order to attract higher-paying tenants and stay competitive in the market.

Overall, the multifamily market in Phoenix, Arizona is expected to continue to grow and remain strong in the coming years. With a growing population and strong job market, demand for rental properties is likely to remain high, leading to continued growth in rents and low vacancy rates.

Leading Performance Indicators as of Week of March 12 (Phoenix MSA)

Occupancy: 93.6% (+.4% last 30 days)

Traffic Per Week: 7.5 (+.2 last 30 days)

Leases Per Week: 2.1 (+.1 last 30 days)

Concessions: $20 (+5.3% last 30 days)

Quote from @Trevor Richardson:

I’m a broker that specializes in multifamily and single family investments. I have assisted many investors at all different ranges. To me it’s not how many deals you have done, it’s your ability to hop in and get your hands dirty. Here are 3 quick steps to get a good broker working for you.

#1 Provide feedback on deals - I’ve worked with all levels of investors. If I send you a deal or an idea or a list, and you don’t provide any feedback I come to the conclusion that you are not really committed, or something is not working like the market doesn’t work for you.

#2 Yes go meet with agents. Doesn’t matter who is buying the beer or coffee, I need a little face-time to see not only if you are real, but I’m reading your personality so I can figure out how to work together. Go on a market tour. 

#3 Find an agent that’s qualified for multifamily. This may be difficult. But I don’t think common commercial brokerages do multifamily well because small multifamily is not large enough. And partly they focus on the primary asset classes of “where people work”, not “where people live”. Have you ever seen a commercial office agent in an apartment building haha? Residential brokerages won’t have much investment underwriting focus. This makes small multifamily virtually unserviced. I’m not sure what market you are in but try to locate someone who just does multifamily. 

Hope this helps.

 @Trevor Richardson super helpful! Providing value or in this case feedback to deals sent my way seems to be an absolute must to show that you are committed as you mentioned. I have reached out to a few multifamily brokers in my local Phoenix, AZ market but have not seen much traction yet. If you are ever out here, I'd be happy to be you a beer or coffee!

Hi BP fam,

I am curious to hear how some of the more experienced multifamily operators have created strong relationships with brokers. I think this is a pretty common obstacle starting out, but with no experience or any real credibility, how do you get a broker to trust and believe in your vision and then send you deals based on your investment criteria? Is it through reaching out on LinkedIn? Is it getting referrals to brokers in your area? Maybe it is contacting a broker about a listing and talking through some of the things you see after underwriting a deal.

Interested to hear any thoughts on this!

-Brock Burton

Billy,

I recently joined a mastermind ran by Josh Ferrari who is out in Alabama. Incredible knowledge being shared every week and you are surrounded by like-minded people looking to do the same thing you are. I would highly recommend it!

-Brock Burton

Hi BP,

My partner and I are currently on the lookout for an experienced GP in the Phoenix market. We are committed to providing value to a deal and see this as an amazing opportunity to learn and grow from someone who has already been there and done that. Happy to have a conversation in the coming weeks if anyone is looking for a joint venture opportunity. 

-Brock

@Manny Del Val Awesome to see you making the leap into multifamily. I am out in Phoenix, AZ and am building a team of my own to close on my first multifamily asset. I am looking for value-add B & C class deals with 20-60 units. What investment criteria are you looking for in your markets?

Hello BP forum,

Exciting news!! I have found my first business partner. A strong networker and man of faith. As the Calvary Capital team continues to form, I am looking forward to connecting with people who are open to joining a multifamily syndication team that has a passion to make an impact and see lives changed. 

We are located in the Southwest (Arizona & California). Talk soon!

-Brock Burton

Quote from @E. C. "Stony" Stonebraker:

@Brock Burton, check out Dugan Kelley (Kelley Clark), Maurico Rauld (Premier Law Group), Charles Dobens (Dobens Law & Multifamily Investing Academy) and Kim Lisa Taylor (Syndication Attorneys) who are popular SEC attorneys in the syndication space and, very knowledgeable.

 Thank you for the recommendations. My mentor has heard great things from Maurico Rauld!

Hi network!

Hope you are all well this week. As I continue to build out my team, I would love to hear from any of you that have great referrals/recommendations for SEC Attorneys and/or tax professionals in the area. 

Thank you for your help,

-Brock Burton

Quote from @Randall Leese:

Hi Everyone! First off, thanks for making this such a great community. It's humbling how many knowledgeable, supportive, and generally rad people there are on here!

I just moved to the area from N Idaho; I'm an RN in the ICU at Banner U, and I'm looking to buy my first home here. Prices are a little discouraging. Is it even possible to find something that meets the 1% rule? Anyone house-hacking? Curious how people make it work. Maybe it's better to wait and see if there's a 40% further downturn like some are forecasting.

With that, any referrals to an investor-friendly agent or wholesalers and/or general tips would be awesome.

Cheers guys!
Randall

Hi Randall,

congrats on moving out to PHX! My wife and I are in the process of buying our first home and we really wanted to find an investor friendly agent as well. We met Tina Lee of ProSmart realty. She understands the house hacking approach and has helped a number of investors find their homes. Hope this helps!

-Brock Burton