Are you thinking about buying a multifamily property in Brigham City, Utah? Whether you’re a first-time buyer or an experienced investor, this small and friendly city can be a great place to own real estate. In this guide, we’ll walk you through everything you need to know in simple and easy-to-understand language.
What Is a Multifamily Property?
A multifamily property is a building that has more than one living unit. Examples include:
- Duplexes (2 units)
- Triplexes (3 units)
- Fourplexes (4 units)
- Small apartment buildings (5 or more units)
You can live in one unit and rent out the others, or you can rent out all the units as a full-time landlord. It’s a great way to make extra money through rent and build long-term wealth.
Why Choose Brigham City?
Brigham City is located in northern Utah. It’s a peaceful city with beautiful mountain views, friendly people, and a slower pace of life. Here are a few reasons why people love buying property here:
1. Affordable Prices
Compared to bigger cities like Salt Lake City or Ogden, real estate prices in Brigham City are usually lower. That means you can get more for your money.
2. Strong Rental Demand
Many people in Brigham City rent instead of buying. This means you can expect steady rental income if you own a multifamily property.
3. Good Quality of Life
Brigham City has parks, schools, local shops, and outdoor spaces. It’s a great place for families and renters alike.
4. Close to Larger Cities
Brigham City is just about 25 minutes from Ogden and less than 90 minutes from Salt Lake City. This makes it a great spot for people who want to live in a quieter area but still commute to work.
Steps to Buy a Multifamily Property in Brigham City
Let’s break down the steps in a way that’s easy to follow:
Step 1: Set Your Budget
Start by figuring out how much you can afford. Will you pay in cash, or do you need a mortgage? Talk to a lender to get pre-approved. This helps you understand your loan options and interest rates.
If you plan to live in one unit and rent the others, you might qualify for an FHA loan with a low down payment.
Step 2: Work With a Local Realtor
Find a real estate agent who knows the Brigham City area and has experience with multifamily properties. They’ll help you find good deals, set up tours, and handle the paperwork.
A local expert will also help you understand the rental market in the city.
Step 3: Search for the Right Property
When looking at properties, ask yourself:
- How many units does it have?
- Are the units already rented?
- What is the condition of the building?
- Are there any repairs or upgrades needed?
- What is the monthly income and cost?
Also, look at things like parking space, laundry areas, and how close the property is to schools and public services.
Step 4: Check the Numbers
Before you buy, you need to know if the property will make you money. Look at:
- Monthly rent from each unit
- Mortgage payment
- Property taxes
- Insurance
- Repairs and maintenance
- Property management fees (if any)
A good investment will give you positive cash flow – that means the rent you collect is more than the cost of owning the building.
Step 5: Make an Offer
Once you find a property you like, your agent will help you make a fair offer. If the seller accepts it, you’ll go under contract.
Step 6: Inspection and Appraisal
Hire a professional inspector to check the building’s condition. This helps you avoid expensive surprises later. Your lender will also order an appraisal to make sure the property is worth the price you’re paying.
Step 7: Close the Deal
If everything checks out, you’ll sign the final papers, pay your down payment, and become the owner. Congratulations – you now own a multifamily property!
Things to Keep in Mind
Here are a few tips to make sure your experience goes smoothly:
1. Understand Landlord Rules
If you plan to rent out units, make sure you know Utah’s landlord-tenant laws. You need to follow rules about lease agreements, deposits, repairs, and evictions.
2. Plan for Vacancies
Sometimes units will be empty. Save some of your rental income each month to cover these times.
3. Screen Tenants Carefully
Good tenants pay rent on time and take care of your property. Always check their background, credit, and rental history.
4. Maintain the Property
Keep the property in good shape. Happy tenants stay longer, and your building will hold its value.
5. Hire Help if Needed
If you don’t want to manage everything yourself, you can hire a property management company. They handle things like collecting rent, making repairs, and dealing with tenants.
What Are Prices Like in Brigham City?
Prices can vary based on the number of units and condition of the building. As of now:
- Duplexes may cost between $250,000 to $400,000
- Triplexes and Fourplexes can range from $350,000 to $600,000+
Keep in mind, these numbers can change over time. A local realtor can give you the most current market info.
Final Thoughts
Buying a multifamily property in Brigham City can be a smart move. You can earn rental income, live in one unit, and build wealth over time. The city offers a great mix of affordability, demand, and quality of life.
Just make sure you do your homework, talk to experts, and understand what you’re getting into. Real estate is a big investment, but with the right steps, it can also be one of the best decisions you ever make.
