This weekend I attended a Multi-Family Investing Bootcamp organized by The Real Estate Investment Network (REIN) and started to learn about how to acquire, manage and exit multi-residential properties. One of the key takeaways for me was the rule of 150 which I will explain here. There are some differences in the way single family and small residential properties are valued when compared against multi-family properties and this creates a powerful opportunity to create equity by increasing a building’s value.
Continue reading “Manufacturing Equity with The Rule of 150” on my blog at BiggerPockets to learn what the rule of 150 is, why it works, and the math behind it. I even share a couple examples of how it can be used to manufacture equity.
photo credit: cogdogblog
Fantastic post, Andrew! I think you might help quite a few investors to catch the commercial multi-family bug with this one.
Hi Josh, I’ve still got to develop Bigger Pockets before I get into it myself but it makes sense in so many ways.