Quote from @Neil Cronkrite:
@James Gee What got you interested in multifamily over other asset classes? What's your experience (in real estate investing or outside work) coming into multifamily investing?
Hey Neil!
so my real estate experience is I’ve been doing mainly buy and hold residential for the past 5 years. Mainly duplexes. I’ve also done a couples flips. Besides that I have been a plumber for 8 years.
I would have to say a couple thing that have got me interested are:
1. scalability. I did a couple BRRRRs on a couple duplexes. Each one took about roughly 7- 10 months to complete(full gut rehabs). I didn’t make much of the refi on one and left money in the deal on the other. Not to mention I had to service that debt on the properties during the rehab because they where distressed/ vacant. I say all that to say these 2 duplex’s cash flow about $1500/mo in total. Which isn’t bad but not as attractive as larger multi family.
2. I love the forced appreciation method. And how the properties are valued as assets based off the income it produces vs a residential home based on what sold in the area. I think it’s more straightforward with evaluating a property because numbers don’t lie.
3. I like partnerships. I like the fact that I can partner with people we can bring different skills to the table and help each other.This is coming from someone who has been property manager, maintenance, general contractor & plumber! It’s not a scalable approach from my experience. I was literally working 4 jobs while working a fully time job and trying to find more deals & educate myself everyday.
much respect to those who are successful doing it but I don’t want that approach. I would rather have a slice of the cake instead of my my own piece of candy.
I have more reason why I find it attractive but those are a few! Sorry for the long response.
