1 / 8

Developing Small Rental Properties

Learn how to evaluate properties for rental purposes, including location analysis, property condition assessment, tenant occupancy, financial projections, and available financing options. Explore the pros and cons of using federal funds, as well as different property management strategies.

seibert
Download Presentation

Developing Small Rental Properties

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Developing Small Rental Properties

  2. Property Identification • Should I buy this property?--how to evaluate properties for purchase and use as rental property? • The market for housing right now means that we have to be able to make decisions quickly in order to compete for the purchase of property. What are ways to decide if the property you are purchasing is right for your organization? What should you do to prepare for property selection? • Location analysis—do you want to concentrate on one neighborhood or community? • Property condition analysis:--How much rehab will be needed?

  3. PROPERTY IDENTIFICATION (con’t) • Neighborhood/Community selection—is there need? how many units? Should we be developing housing in “high opportunity” areas? • Are there tenants in place? • Financial projections

  4. Financing a project • Federal funds can rarely be used alone to purchase rental property—there is not enough. What other sources are available to leverage federal funds? Do you really want to use federal funds because they put restrictions on rent amounts, relocation, tenant selection and have requirements regarding the rehab that must be done? • Some financing examples • What are lending options? • Local banks • CDFI’s • WHEDA

  5. 10 Unit Supportive Housing project

  6. 10 Unit rental project

  7. Rehab • What rehab should be done • When should rehab be done • Requirement of funding sources • Rehab of occupied units?

  8. Property Management • Self Manage? • Management Company? • Other alternatives?

More Related