GRM of 4 / vacancy rate of 13% - Posted by Bruce M

Real Estate Investing
1

Posted by Scott Lamontagne on August 02, 2003 at 23:21:09:

Bruce,

Vacancy rates are going to vary based on location and asset class. (A, B, or C) But I can tell you that in my area (Dallas / Ft Worth) overall vacancy rate is approx 11.5%

Scott

2

GRM of 4 / vacancy rate of 13% - Posted by Bruce M

Posted by Bruce M on July 20, 2003 at 13:54:20:

I am looking at some mulifamily properties in a small town of about 20,000. The town is about 1.5 hours from a large metropolitan area. The gross rent multipliers run from 3.75 to 5. The rental vacany rate in the town is 13%. I know the GRM don’t take into account expenses so expenses would have to be verified as would the rental income.

Is this a normal vacany rate? Should I stay away from this area given the vacancy rate?

thanks