Multifamily
Duplexes, triple-deckers and other multifamily properties can combine housing and investment, but the operating numbers still need to make sense.
Plan For Investors
Buy the asset because the numbers make sense. Not because somebody called it a deal.
Investment property requires a different set of questions.
What is the property supposed to do? Produce income? Build equity? House hack? Create a value-add opportunity? Replace another investment? Become one piece of a larger portfolio?
The strategy starts with the objective. Then we test the property against it.
Tayla André
Real Estate and Wealth Advisor
Analyze
Understand The Asset
Acquire
Buy Intentionally
Operate
Know The Business
Exit
Plan Before You Need It
Before You Buy
An investment property is a business decision.
A property can be beautiful, underpriced or located in a hot neighborhood and still fail to accomplish what you need it to do.
Before we discuss an offer, we need to understand the income, expenses, financing, condition, market, legal use, work required and likely exit options.
If the investment only works when every assumption goes perfectly,
it deserves another look.
Investment Lanes
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There is more than one way to own real estate.
The strategy should fit your capital, financing, experience, timeline, risk tolerance and objective.
House Hacking
Owner occupancy combined with rental income may create a lower barrier to entry for some buyers, depending on property and financing eligibility.
Value Add
Renovation, repositioning or improved property management may create opportunity when the costs, permits, timeline and after-improvement assumptions are defensible.
BRRRR
Buy, Rehab, Rent, Refinance, Repeat is a framework investors may use. Every stage depends on financing, renovation execution, rental performance and future valuation.
ADU Potential
Accessory dwelling units may create additional use or income potential where the property, zoning, design, permitting and economics support the project.
Renovation Financing
Some owner occupants may qualify for loan programs that combine acquisition and eligible renovation costs. Program requirements are determined by the lender.
1031 Replacement
Investors completing a qualifying exchange may need to identify and acquire replacement real estate within strict rules managed with their qualified intermediary and tax advisors.
Portfolio Growth
The next acquisition should be considered alongside what you already own, your debt, reserves, management capacity and long-term portfolio objective.
Analyze The Asset
A listing price is not an investment analysis.
Investors need to understand both the real estate and the operating assumptions underneath it.
Some numbers may come directly from leases, tax records, utility information or documented expenses. Others may be estimates. Those are not the same thing.
Income
Current rents, potential rents, vacancies and other documented income.
Operating Expenses
Taxes, insurance, utilities, maintenance, management and
other ownership costs.
Capital Needs
Repairs, deferred maintenance, improvements and larger future expenditures.
Financing
Down payment, debt service, loan terms and reserves.
Exit Strategy
Hold, refinance, improve, exchange, sell or another planned disposition.
Value Add
Potential only matters if you can execute it.
Renovation and repositioning can create value, but the plan has to survive contractors, permits, financing, time, carrying costs and the market.
Property Condition
Understand what appears cosmetic, what may be deferred maintenance and what requires professional inspection or contractor evaluation.
Improvement Cost
Use real bids and appropriate professional estimates rather than making an investment decision around a renovation number somebody guessed.
After Improvement
Compare the proposed finished property with relevant market evidence rather than assuming every dollar spent creates a dollar of value.
1031 Replacement Property
When the sale and the next acquisition are connected.
A Section 1031 exchange can create a very different acquisition timeline because the real estate transaction must coordinate with the exchange rules and the professionals responsible for compliance.
My role is the real estate side: understanding the property criteria, locating possible replacement properties, analyzing the market and managing the purchase transaction.
Tax eligibility, identification requirements, deadlines,
intermediary requirements and exchange compliance should be
confirmed with a qualified intermediary and appropriate tax or
legal professionals.
ADUs and Renovation
Extra square footage does not automatically equal extra profit.
ADUs, conversions and renovation projects should be evaluated as projects, not slogans.
Before assuming the opportunity works, determine what is legally permitted, what construction may cost, how it will be financed, what the property could reasonably support and what the market may pay for the finished result.
Property and site feasibility
Zoning and permitting review
Contractor estimates
Financing review
Rental market analysis
Resale considerations
Acquisition Process
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The deal gets tested before it gets romanticized.
Define
Establish the investment objective, available capital, financing and acceptable level of risk.
Analyze
Review income, expenses, property condition, market information and the assumptions required for the investment to work.
Verify
Use inspections, leases, public records, lender requirements, contractor information and other due diligence before relying on the numbers.
Acquire
Negotiate the transaction, manage contingencies and coordinate the real estate side through closing.
Professional Network
Real estate investing is a team sport.
I handle the real estate strategy and transaction. Tax, legal and lending questions belong with professionals who are appropriately licensed in those disciplines.
Tayla André
Real Estate and Wealth AdvisorReal estate acquisition strategy, valuation, property analysis, negotiation and transaction coordination.
Whitney Miller
Tax ProfessionalIndependent resource for tax-related questions and planning.
Shirley Carrington
Real Estate AttorneyIndependent legal resource for real estate and ownership questions requiring attorney review.
Brian McMullen
Mortgage LendingIndependent lending resource for financing questions and available mortgage programs.
Licensed Markets
Massachusetts and Georgia.
Real estate brokerage services are provided in the jurisdictions where Tayla André is licensed.
Massachusetts
Search residential and investment property through the Thumbprint Realty property portal.
Search MassachusettsGeorgia
Explore Georgia property opportunities and connect with Tayla for acquisition strategy.
Search Georgia
Ready To Acquire?
Investment strategy lives inside the larger Purchase.
When you are ready to move from analysis into acquisition, continue into The Purchase for the broader property-buying process.
Investor Strategy
Bring me the property. Bring me the idea. We will test the strategy.
Whether this is your first investment property or one more asset in an existing portfolio, we start by understanding what the purchase is supposed to accomplish.