Kansas City remains one of the best cash-flow markets in the Midwest, but the deals that worked in 2019 don’t work at today’s rates without sharper underwriting.
Start with realistic rent — not the Zillow Rent Zestimate, but three comparable rentals within a half-mile that leased in the last 90 days. Underwrite 8% vacancy, 10% maintenance, 10% capex, and 8% management even if you plan to self-manage.
For small multi-family in the $400K–$700K range, target a 7%+ cap rate after real expenses. In-fill Northland and Waldo can still hit those numbers on the right deal.
1031 exchanges are increasingly the smartest move for existing KC investors sitting on 2015–2019 basis. I can quarterback the timeline and identify replacement properties in the same call.