302: Older Value-Add Apartments Can Be Great Values But Be Careful Of Unpleasant Surprises

Prices on older buildings can look attractive but you get what you pay for. The biggest challenge with older properties is being able to project expenses. Properties from the 1960’s 70’s, and early 80’s tend to have a lot of deferred maintenance, especially the plumbing systems. Maintaining and replacing old plumbing is very expensive and can negatively impact the financial performance of the property. Lee Yoder, Founder and CEO of Threefold Real Estate, has done a great job acquiring and managing Class C properties in Southwest Ohio but has had to learn some expensive lessons along the way.