by Maria Morton
People who already own their Primary Residence in Kansas City are now looking for investment property to buy. I'm getting phone calls every day from another person who wants to invest in real estate to produce monthly income. They've done their research and know that the ROI is better than the ROI they are getting on their stocks, bonds and money market accounts.
It's best to start off with a single family home as a rental and progress to multi family buildings after you have some experience. Once you have a property manager, accountant, and good contractors in place (or have learned to manage the properties yourself), you can progress to the next level. This would include Duplexes, Triplexes, Fourplexes, and Apartment Buildings.
So, here's a look at what's happened over the last 12 months in Multi Family Home Sales in Kansas City's MLS Area 202. [MLS area 202 is Missouri close-in and extends from the river South to about 435, West to the Kansas State Line, East to Independence/Raytown/Blue Springs/Lee's Summit. It includes downtown, the Plaza, Westport, Brookside, Waldo, Swope Park, 18th and Vine, etc. It is the largest, most densely populated MLS area.]
As you can see, the prices are going up. The average price for a multi-family unit is about $75,000.
The highest price paid for a multi family building during the last year was $658,500. This was an 18 unit apartment building in the Valentine area.It's a beautiful brick building with large units and low turnover. The gross income was reported at $116,921/year. Gross Expenses: $52,253. Net Income: $64,668.
The lowest price paid for a multi family building during the last year was $2,860. This was for a 6 unit building on 27th & Benton Blvd. It was a Total Rehab meaning that it will need everything. Roof, plumbing, electric, walls, HVAC, finishes, etc.
This is why you see such a low median price for the Sold Multi Family properties. The lower the price, the more rehab they need. Naturally, location plays a part in the prices the properties can command as well as the amount of rent tenants will be willing to pay.
Be sure to work with a knowledgeable real estate agent when investing in real estate - multi-family or single family. Like anything else, if done wrong, you will feel the pain; if done right, you reap the rewards.
♫ Do You Know Jack? Lesson 1 for Real Estate Investors ♪ The Rule Of 72 ♫ Neighborhoods in Kansas City ♪
Maria Morton [816-560-3758] Leading Edge Society 2010 . .For your convenience, the QR Code can be scaaned with your Smart Phone to capture my contact information. ♫ Columbus Park and the Old Northeast ♫ ♫ Crossroads District in Kansas City - home to artists! ♫ ♫ John Wornall House ♫ ♫ Favorite Brookside Home ♦ Prudential Kansas City Realty . 435 Nichols Rd. 3rd Floor . Kansas City MO 64112 . Office 816-410-5499 Blog: www.MariaMorton.com ♫ Kansas City Real Estate Home Values By County Years 2001-2011 ♫
♪♫ . . ...*Information obtained from Heartland MLS is deemed reliable but not guaranteed. **This is an eclectic blog combining a little business with pleasure; please consult a licensed professional before making life altering decisions. Maria Morton, Realtor©, SRES is a Kansas City Real Estate Agent licensed in MO & KS and affiliated with Prudential Kansas City Realty 816.410.5499.o Maria Morton Copyright © 2011 *Kansas City Real Estate Investing In Multi Family Properties*
Maria Morton,Realtor© Call 816-560-3758. Google Maria
Client Testimonials ♫ KansasCityHomes ♫ Market Reports ♪ FAQ's ♪
*Information obtained from Heartland MLS is deemed reliable but not guaranteed. *This is an eclectic blog combining a little business with pleasure; please consult a licensed professional before making life altering decisions. ♪♫ Scan QR code for homes for sale mobile app:
Maria Morton of Better Homes & Gardens Real Estate is a licensed Real Estate Agent in KS & MO. 816-560-3758 Mobile 816-410-5499 Office 816-410-6302 eFax 435 Nichols Road Ste. 300 Kansas City, MO 64112 Maria Morton Copyright © 2008-2013