CREPN #64 - Multifamily Asset Class A,B,C with John Wilhoit

The factors that define the property class designation include age of the property, amenities offered, rents charges, level of service, safety of the neighborhood, uniformity of the property and more.

Class A properties

• The newest property in the area.

• Features will include the greatest level of amenities in the marketplace

• Construction finishes will be of the “Best in Class”.

• Rents will be the highest in the marketplace.

• Located in desirable neighborhoods.

Class B Properties

• Twenty years old and older.  

• Well maintained and have little to no deferred maintenance.

• Located in a safe and desirable neighborhoods.

• Tenants have stable income

Class C Properties

• Tenants are normally hourly workers.  

• Located in safe neighborhoods.

• Turnover tends to be higher

• Will have deferred maintenance needs.

Everything else

Properties do not fit in any of the A, B, C categories and have characteristics including:

• High crime

• 4 story walkup

• Non conforming floor plan or unit configuration

• Lower rent

• Lower caliber of tenant

For more go to:

John Wilhoit on Amazon.com

http://multifamilyinsight.net/