The numbers appear to be encouraging for owners of multi family investment properties. You may be asking yourself “Am I getting the most out of my multi family investment property?”

With Southern California area rents up as much as 18% (12.8% LA County , 17.4% Inland Empire and a whopping 18.2% for Orange County) many investors are wondering how long this can be sustainable. Then, when we look at the low vacancy rates of 3.1% for LA County and 2.4% for Orange County and the Inland Empire, it may feel like the latter stages of a game of musical chairs. Should we just hang on or be looking for a possible “landing”?

 Maybe ask yourself a few questions:

 WHAT IS MY LONG TERM STRATEGY? When I purchased my current properties, was I planning to expand, add more units to my portfolio, keep moving? Was I planning to just own one property and keep it forever- pass it down to my heirs?

 AM I CONCERNED ABOUT RENT CONTROL? Statewide rent control has affected multi family owners, especially those who had rents well below market rents. In many cases, it could take many years of annual raises to meet the current market rate, but how will they ever get to the future market rate? What about the moratoriums on evictions in some cities?

 HAVE THERE BEEN LIFE CHANGES AFFECTING MY FUTURE STRATEGY? Has my employment situation changed? How is my health? Are family members depending more on me than before? Are there any new unexpected expenses?

It’s always good to check with your CPA and your real estate attorney before making a major move, but at the end of the day, only you can answer these questions.

What we at PRS PROPERTIES CAN do for you,  is give you a good idea what your property is worth in the current market as compared to other similar properties. We can review your profit and loss statement and suggest changes that may allow you to get a higher value than you may have thought. We can give you another point of view to go along with what you already know.

We can do a rent survey to help you understand rental values in the area. Where are your rents in relation to “market rents” in your area? Remember, we are apartment owners too!

We have investors who are looking for “off market” properties and we have put together many, many transactions which involve properties that are not listed for sale. Many times, buyers prefer to buy “off-market” buildings because they feel that they are getting something not available to the general public.