Considering a Multi-Family Residence as an Investment Property

[Solomon]

I'm considering buying a 2 - 4 family residence (duplex, triplex, etc.) and renting out the units. Anyone have any experiences that they don't mind sharing (good or bad)?

Brief run-down:
- The mortgage on the home that I live in is paid off.
- Retiring from the military and starting a new career in a few months.
*Retirement pay will cover all of my basic expenses (bills, taxes, insurances, etc.).
- Should make about 75K/year (not including retirement pay) in new career.

Any insight will be much appreciated.

 

[dirty_larry]

Rental property is a great idea to supplement your income. There are a few things to be careful of as you choose your property; location, target tenants, and can you afford the mortgage when vacant. Most people that I've dealt with prefer a property manager to save then time and energy, but there are some who would rather personally care for their property (most of these are very handy and patient). I recommend getting a home warranty. When you need it you will be happy you have it.

Research the average rent for the area (especially if the investment property is vacant) and compare it to the expected debt service to include taxes and repair fund.

Hope this helps.

I'm considering buying a 2 - 4 family residence (duplex, triplex, etc.) and renting out the units. Anyone have any experiences that they don't mind sharing (good or bad)?

Brief run-down:
- The mortgage on the home that I live in is paid off.
- Retiring from the military and starting a new career in a few months.
*Retirement pay will cover all of my basic expenses (bills, taxes, insurances, etc.).
- Should make about 75K/year (not including retirement pay) in new career.

Any insight will be much appreciated.

 

[Solomon]

I appreciate the information, and I've considered most of what you posted. I was really hoping that someone could share any personal success/horror stories that they may have.

 

[Lick]

Get as much info on your tenants as you can. Also know the codes for you city/County.

 

[BoxEater]

I agree that location is the most important aspect. The second is your ability to screen and acquire good tenants. I use TransUnion's SmartMove service....its AWESOME and has saved me from making severlal bad tenant choices.

https://www.mysmartmove.com

 

[defynedqbprodigy]

I agree that location is the most important aspect. The second is your ability to screen and acquire good tenants. I use TransUnion's SmartMove service....its AWESOME and has saved me from making severlal bad tenant choices.

https://www.mysmartmove.com

Good looks on the share!

All the above posts nailed it...just be in it for the long haul. It can feel like another full time job in the beginning as you're getting the hang of it. If you have a friendly contractor, plumber,or electrician you're one step ahead of the game. Good Luck!

 

[RepostKing]

If I woke up and was only making 75k a year as a grown ass man I'd kill myself.

 

[Jeholla]

Depending on the area you may want to consider single family homes. I usually find them in better areas with lower taxes, and can command a higher rent. Also single families are easier to sell when needed.