MULTIFAMILY FAQ

My love, interest, and experience with multifamily investing is why I focus on this type of investing.

I currently manage and own numerous real estate properties in Colorado (and I have done so for over 25 years) – including single family residences, apartment multifamily units, and mountain area short term rentals. Before I became a Realtor, I spent most of my energy learning about and investing in multifamily – and it was extremely difficult to find a real estate agent that specialized in this niche. Most commercial brokers do not deal with “small multifamily” – meaning anything less than 100 units. Also, most residential brokers do not deal with multifamily at all. There is a missing link for small to mid size multifamily investors. With multifamily, it really is important to find an agent that has a lot of experience in this small subgroup of investments.

I know exactly what to look for, what to avoid, potential pitfalls, and some of the subtleties to know about multifamily properties. I will help you learn the importance of NOI, cap rates, cash-on-cash returns. I know exactly where to find and how to identify a potential worthwhile property – and I know exactly which online and offline resources to use for these properties.
I can also help you sell your multifamily property for the highest price possible – I can help guide you with some decisions about whether improvements (whether minor improvements or a cost-effective project) should or could be made to get the highest return – but I also know how to get the highest value if you want to sell as-is, not only because I know how to market the property and where to find multifamily investors, but also because I know how to navigate the negotiation in your favor.

If you are uncertain if you want to invest in multifamily, I can help guide you with the pros and cons of multifamily vs. other types of commercial investments. I have a commercial real estate background, so If you decide you may want to veer towards a different direction, I am connected with a network of commercial colleagues whom I trust to help and direct you, if that is your interest.

I don’t think I can make the numbers work to buy a multifamily property

This is a common concern about purchasing multifamily in Colorado. It is true that properties can be very expensive and it makes the return “tight”. Nevertheless, a good investment can ALWAYS be found, especially if you know where and how to look for it. The appreciation value alone often makes Colorado investments make a lot of sense. We will explore together what kind of return needs to be seen in YOUR individual situation – and so we can explore together what makes sense for you. This will be different for everyone.

I don’t know any property management companies or other resources to help me manage my investment

I have many resources I can help direct you to – including property management companies. I will help you get all set up with these resources even before we start hunting for a property. This will help you set your mind at ease, because this is often the most important aspect of owning a multifamily property. If you decide to self-manage, I can also help you with resources, such as handymen, electricians and other contractors, insurance agents, online platforms to use for managing, etc. I currently self-manage a multifamily property, so I know what you will need and the best resources to use.

What if it’s not the best time in the market cycle to sell?

If you have some leeway of when you need to sell, we will explore together the market cycle and predictions so that we can go over the pros and cons of selling. I never will push a sale if I think you may benefit from waiting. I am here as a long term advocate, and my priority is your best interest.

I want to sell my property, but I don’t have my paperwork in order

No worries at all – many small and self-managed multifamily owners do not have professional accounting practices in place – I will help you organize and implement easy accounting statements. This will help potential buyers understand the value of your property, and so increase its worth. This will all be done before we take the property to market.

My property is vacant or partially vacant

If you are in this boat, you don’t need to wait to talk to me, because we will come up with a plan to get you the highest value. Vacancies can affect the value of an investment property, so we will strategize how to resolve this, or sell as is (for example, if you need to sell quickly) for highest value. I partner with a wonderful management team that can help us either find a qualified tenant before sale, or we can plan other strategies for increased value to offset the vacancy. If we decide to sell with vacancies, I know how to negotiate on your behalf, so that the buyer’s side can see the value even with the vacancy.

I want to reinvest with a 1031 Exchange, but I am worried about the stress of finding a new investment with the limited time

I am partners with an excellent exchange company that will help us strategize how we move forward – there are other options than the typical 1031 Exchange, so we will explore all possibilities first.
If we still decide a traditional 1031 Exchange is the best route, I will be there every step of the way and I will work overtime to make sure we find a new investment you love. If you are looking for an investment outside the single or multifamily avenue, I have wonderful commercial broker relationships that I can recommend to help guide you towards that avenue. You will be in good hands to help you find your new investment, no matter what type of new venture you are looking for.

My investment partner/family does not agree with me about whether to sell

This is a very common problem in the world of investments. I can help navigate the tensions and issues related to disagreements regarding real estate decisions. I am never in a hurry to sell someone’s property, my aim is a lifelong real estate partner.
I can often help a partnership or family get on board with one decision that everyone can be happy with – whether that may mean sitting tight or selling immediately. I can be a tremendous resource as a mediator of sorts – sometimes helping both sides see each other’s side of the situation, so that a comfortable decision and plan can be made.