How to Buy a Duplex in Northeast Minneapolis
Buying a Duplex for Sale in Northeast Minneapolis
Ever wondered if there are any duplexes available in Northeast Minneapolis alongside all of the breweries and coffee shops?
There are! In fact, duplexes are all over Northeast. These buildings tend to be historic, and in many cases, they have been standing since the early 1900s.
So how do you get your hands on a duplex in the NE neighborhood? We’d recommend following three simple steps as you start your search.
Call a Minneapolis Duplex Specialist
Most single family home buyers choose to work with a real estate agent throughout their search. Since navigating the Twin Cities housing market can be a challenge, most people accept that this is an important step in the process. However, in our opinion, it’s even more important to work with a real estate agent when looking into the duplex market.
Duplexes tend to come on and off the market very quickly. They can be hard to find at all, and even when you do find one, it can be difficult for a first-time investor to determine a great deal versus a poor deal. That’s why specialists like us are here–we want to help guide you through the buying process in a way that a regular real estate agent can’t.
Just like you, many real estate agents are inexperienced when it comes to investment properties and duplexes. While they may know a great deal on a single family home when they see one, that knowledge does not necessarily translate to duplex expertise.
Do Your Research (And Know Your Options)
Before investing blindly, ensure that you’ve done a bit of research regarding duplex investments. Our blog is a great resource for beginners. Research is important when considering a duplex investment for several reasons. First, it helps you to understand your options in financing, qualifying, tenant management, and more. Second, it helps you to ensure that the duplex you end up with is one that will help you to fulfill the goals you set out with.
If you’re just starting to learn about duplex investments, we’d recommend starting by reading these two articles from our blog.
- Buying a Duplex in Minneapolis – A Step by Step Guide
- An FHA Financed Duplex is the Ideal First Investment Property
Another great resource to consider is the BiggerPockets blog.
Another crucial step in the duplex buying process is getting pre-approved. However, unlike the single family home buying process, it’s important to let your lender know that you are purchasing a rental property. After all, lenders will allow you to use up to 75% of your anticipated rent payment from a tenant as stated income. When you’re looking to qualify for a duplex, this added income can allow you to qualify for much more than you would have been able to without this added bonus.
Since you’ll be able to add part of a projected rent payment to your stated income, you’ll definitely want to get pre-approved before going too far in the duplex purchasing process. You may even find that you can afford much more than you had ever anticipated.