All Forum Posts by: Account Closed

I'm getting ready to jump into the multifamily game and have been doing my homework for the past few months.  It seems that many/most multifamily properties are (maybe deliberately) over priced.  I see duplexes/tri/quad's bought for 100k then listed for nearly 200k 1 to 2 years later in an area that has seen little to no appreciation.  My question for the seasoned investors: Do you ever pay full price?  In your experience, is the asking price in the multi family world just a starting point for negotiations?  

@Bill Exeter if I were to acquire the property from him in a gift equity transaction would I have to wait 2 more years after this transaction to be eligible for the primary residence exclusion even though I have been living here for almost a year?    

This property has a significant amount of equity, we are trying to figure out the best route to give my father his initial investment back without him having tax consequences in the future.  The agreement when he helped me with this purchase was to get me equity to move forward and begin my real estate investing career.   

Prices in the pacific Northwest have absolutely skyrocketed over the past 5 years.  The average home in King county is now 700k.  I'm looking to break into the multifamily market but everything seems way overpriced.  Even the suburbs (Renton, Lynwood, Edmonds) are extremely expensive now.  Rents have increased but the numbers still don't seem to add up.  What are your thoughts on investing in the greater Seattle area during this boom.  Should I be looking out of state to invest in multifamily's instead?  

Dave Foster yes we are both on the deed. To give you the full picture- we reserved a luxury condo almost 3 years ago before the tower was built, closed and moved in last year. (I put down 10% deposit, he paid the rest in cash from his heloc). Since then the Seattle market has exploded and the property has nearly doubled. Because the HOA's and taxes are very high I'm looking to dump this place take the equity and invest in MF out of state (Seattle is too expensive now). Sounds like I'll have to wait for the 2 year exemption and or rent the unit out for 6-12 months?

@anthony I understand that- The residence has only been occupied for 9 months though.  

If a father and son purchase a condominium together and the son lives in the residence and actively pays the father rent (father has invested more in the property than the son), is this property eligible for a 1031 exchange? 

Hello all, 

I'm looking at getting into the multifamily market this year.  Is a cashflow of 4-5k month realistic/possible on a ~2 Million dollar mulitfamily (hand's off) property?  I know there are MANY factors involved but for you seasoned investors- what would you expect to net on a $1.8-2.2 Million Multifamily?

Woody