Multifamily
Multifamily Properties in Western New York
Two-family and larger buildings can provide rental income and a path to building a portfolio. They can also hide expensive problems. Here is how we look at them.
What to look at
How to evaluate a multifamily building
Price per unit is a starting point. The details decide whether a building works.
Rents and leases
Ask for current leases, rent rolls and payment history. Compare rents with similar units nearby.
Expenses
Property taxes, insurance, water and sewer, utilities the landlord pays, repairs, snow removal, lawn care and management.
Condition and capital needs
Roofs, foundations, boilers or furnaces, electrical, plumbing and porches. Older buildings can need serious capital work.
Separate utilities
Which utilities are separately metered affects expenses and how rent is set.
Zoning and legal use
Confirm the legal unit count and any rules with the municipality. Rules differ by city and town.
Financing
Loans for income property can have different terms from owner-occupied loans. Talk with lenders early.
Our approach
Run the numbers, then walk the building
We combine the math with a physical review of the property.
Screen the numbers
Use the analysis calculator with conservative assumptions.
Verify the income and expenses
Compare what the seller reports to documents, bills and tax records.
Walk the property
James looks at condition, systems and potential concerns, and helps you estimate repair needs.
Negotiate and protect yourself
Use inspection findings and your numbers to negotiate. Your attorney reviews the contract.
Considering a multifamily purchase?
Bring us the property and we will review it with you.