Blog :: 12-2011

Invest in Your Future with Montpelier and Barre Multi-Family Properties

Welcome 2012 with an investment in your future! 

As the New Year begins, this is a time when many of us recalibrate and take some time to think about how we might improve our lives.  If you have been considering investing in real estate to build for your future, your children's education(s) or maybe for your retirement the options available now are great.

Multi-family residential properties.  These present a tried and true formula for building equity.  Ownership and management of apartments take effort and patience.  In the Capital Region where very little new rental housing has been built in the last 20+ years there is opportunity to purchase properties and upgrade them.  Market demand for nice rentals is strong and supply is limited.

Some potential investors are unsure about financing options to purchase multi-family properties.  The general rule is that properties with four units or less can be financed with a conventional fixed interest rate if one qualifies with a down payment in the 25% to 33% range.

Larger properties with more than four units are treated as commercial properties from a banking point of view.  The implication of this is that mortgages can be approved locally by each banker or lender and are not as likely to be packaged for sale on the Secondary Market.  This gives lenders more opportunity to customize these mortgages.  Often interest rates can be fixed for five year terms but rarely do we see longer term fixed rate mortgage for this category.

At present, the supply of multi-family properties on the market is strong.  The list below indicates how many properties are listed as of the end of 2011:

Barre City - 31

Barre Town - 7

U-32 Towns - 1

Montpelier - 13

Northfield - 10

Waterbury - 4

The variety of types, quality, and condition of these properties provides a potential investor with options at different price points.

A few to consider in Montpelier are:

93 Berlin Street, Montpelier                          2 Apartments              $174,900

55-57 Northfield Street, Montpelier              2 Apartments          $190,000

93 Berlin Street, Montpelier                          2 Apartments              $174,900

17 North Franklin Street, Montpelier             3 Apartments              $199,500

5 Liberty Street, Montpelier                           2 Apartments              $250,000

1 First Avenue, Montpelier                             4 Apartments              $298,000

8 First Avenue, Montpelier                             4 Apartments              $365,000

4 Loomis Street, Montpelier                           3 Apartments              $369,000

242 Elm Street, Montpelier                            4 Apartments              $415,000

Call us for more details on any of these.  We will be happy to provide you with more information or arrange for you to visit and see these.