Hi folks,
I am still in the process of finding the "right" multifamily deal and although I am not quite there financially I am at best perhaps a few months away. I am looking to invest in the areas of New Hartford, Canton, Simsbury, Avon. The issue is that in those areas there is not many multifamily properties when compared to a larger city like Torrington or Winsted.
I have been approached with some deals that just did not work both in regards to price and also the scope of repairs needed. A good example is a 2 family with structural, electrical and plumbing issues on a home that is 100 years old and needs lots of work but the seller was hoping to get 190,000 and currently includes heat, hot water and electric and is only getting 1100 for the side that is rented.
There is plenty of cheap inventory in Torrington and Winsted, however it is a bit rougher of an area and honestly does not look like it will be improving in the next 5-10 years. There have been home invasions and lots of drug issues in Torrington specifically lately.
An example of a property I recently looked at in Torrington is a 3 family with off street parking, a 2 car garage and a shared driveway with 2 other properties, older home but it is well maintained. Everything is assigned electrical wise to the tenants so there is no owners meter. City water and city sewer, metal roof. 2 units currently have tenants in them and one of them includes a garage bay in the lease. The house is off a main road and the area that is not shared driveway space is extremely tight. He was asking 159,000 and would perhaps entertain owner financing.
I want to stay in those areas as I will manage the properties myself and driving over 20 minutes to cut the grass or plow snow is not realistic for me.
I am curious in hearing what other investors have to add, specifically if they know this area and market well. Do I continue waiting for a perfect deal in one of the towns listed or do I take a deal with a little grittier a place?
