Quote from @Alex Pepe:
Quote from @David Chappell:
Quote from @Alex Pepe:
Quote from @David Chappell:
If you are ever in town, a local investor/agent Rob Drum puts together a monthly social hour for investors. I invest in Birmingham from OOS, and am looking to plan my next trip into town around one of those events.
Hey David, thanks for your reply! I was watching some of his videos yesterday, thats great to know. Sounds like I should plan a trip when Im able to start submitting LOI's.
He's a good contact to have, well connected with other investors in the area. What's your strategy and what kind of investing are you planning on doing in the Bham market?
Strategy is a pretty open ended word, but right now, targeting small multifamily, so duplex-quadplex with value add opp. Price point would be 120-250 (flexibility on both ends). At this moment my plan to is close on 1 prop in Q1 '23, and then 2 the following year, 3-4 the year after, and so on. Subject to change since its early days but that's the goal for now. Instead of holding forever, I'm leaning towards selling at market cap after raising the NOI over a few years to build capital faster and roll $ into larger opps. Hope that made sense.
What kind are you involved with?
Hi Alex, good morning! Didnt even realize you were in ATX too haha. For your strategy, I think thats a good one and that's what I am hoping to transition too in the next few years. Since 2020, I have BRRRRed 5 SFH in the Birmingham area and I am sticking with that strategy for now. Capital preservation and cash flow are my two main priorities right now, Im not quite ready to sink $75k+ into a MFH yet. Ive only been doing this for a few years, but I will say that finding MFH in Birmingham that aren't in D/F areas is going to be VERY tough. I've been looking for some small quads for the last year or so and haven't found anything yet. Most of them go pretty quickly off-market to local investors or investors with existing relationships with brokers. Every wholesaler I have spoken to in the area mention the same thing. So Im not saying it cant be done, its just going to be a little tough. I am hoping to transition over to a strategy similar to yours in the near future, but I feel that focusing on another market with more MFH may be easier. I feel like Im a little late to Huntsville but have opened up my search to that market as well as Tusccaloosa. Either way, sounds like youve got a great strategy in place! Would love to chat more, maybe we can partner up in the future.
