I am an out of state investor. Just bought a couple investment properties in Memphis. One rented, waiting on the second.
What are some other good relatively stable and preferably cash flowing areas to invest right now. Dallas? Atlanta? Paris? Athens? Mogadishu (prob some cheap deals there!)?
And please, I am not looking to be solicited. Just looking for honest opinions from other investors.
Real Estate Investor · Portland, OR · Member since 2009 · 660 posts · 244 votes
17y
Not sure if I'd call Las Vegas 'stable' but there are cashflowing homes available because of the huge downturn, and I believe the possibility of solid appreciation in a few years. Like any real estate investment, buy something that makes sense now and don't bank on appreciation!
Real Estate Investor · Panama City Beach, FL · Member since 2009 · 75 posts · 4 votes
17y
You could look into Bay and Walton counties of Florida that includes Panama City Beach, Destin. We are having a new international airport opening next May that suppose to bring lot of jobs and tourist to this area (new airport in the country in many years).
Real Estate Investor · Portland, OR · Member since 2009 · 660 posts · 244 votes
17y
Ted,
Interestingly enough, Vegas/Henderson was the first area I looked at, but the hoard had already arrived and sellers were getting multiple offers. Broker i worked with there said out of staters would do better offering cash.
Months supply of housing (existing inventory) has gone from 15 months to only 3 months in the last year. Pending inventory is also high. So the market is hot in Vegas now. Lot's of competition. Ditto for San Diego county.
You're exactly right Tom about investors swarming to Las Vegas and inventory dropping dramatically (homes sub $100k) .... I went down in June and got beat out. Hoping to have better luck end of this month. Gonna use the shotgun approach this time. My agent says expect to make 6-8 full price, cash offers before getting one accepted.
Real Estate Investor · Portland, OR · Member since 2009 · 660 posts · 244 votes
17y
----
Interesting about the August sales .... I think the ARM resets aren't isolated to LV but an issue throughout. Las Vegas like many places will continue to see foreclosures but I believe prices are finally settling after their massive drop ... another 10% off from a $50k house could happen but most of the value has already been wiped out when you consider many of these homes were selling over $200k. Doesn't surprise me LV has lowest HS dropout as it's pretty transient .... it's also one of the last places where you can earn a good wage without an education (valet, dealers, etc). I think their economy has a ways to go to recover so buying now should be done with a long range (3+ yrs) outlook. I prefer the NW part of LV.
Interior Decorator · NY · Member since 2009 · 11 posts · 0 votes
17y
mogadisu is a bad choice I think.so much risk in it.dallas is a nice place to invest in.you can a get high profit from there. I had invested there a year ago and got some real good profit.
Flipper/Rehabber · Los Angeles, CA · Member since 2009 · 1k+ posts · 732 votes
17y
Yeah that is the frustrating part. You hear about all these REO properties on the market. But to actually get an accepted offer on one is very difficult in a competitive market. I guess you have to just make several offers. It becomes more difficult when agents price homes significantly below the 'market price' in order to incite a bidding war of sorts.
Real Estate Investor · Oviedo, FL · Member since 2009 · 1 post · 0 votes
17y
Tom - I live in Central Florida - Orlando area...the market is decent - not as bad as south FL where it's inundated with inventory...the good houses are moving. I have one investment property here that I rent out. I would say it may be a good spot b/c of the college and some movement to bring in more industry and jobs. Also the hurricane insurance isn't as bad as the other parts of the state and our taxes are fairly low also. Just beware closing costs and FL are high..
Good luck and feel free to ask me about any areas...
Real Estate Investor · Portland, OR · Member since 2009 · 660 posts · 244 votes
17y
Have you checked out Phoenix? Another warm place that's been hit hard and could eventually have a nice rebound ... I think it offers a place where both working and retired folk like to reside so increased population. I think there are a lot of homes less than 3 yrs old you can make cashflow which helps as well.
Real Estate Investor · Portland, OR · Member since 2009 · 660 posts · 244 votes
17y
You might find this interesting ... from Forbes magazine:
High-Rent Districts
Owning residential rental property is a tough way to make a buck. In these cities landlords earn some of the best returns for their trouble.
City, State Avg CAP Rate Avg Price ($thou)
Baltimore, MD 9.3% $120
Las Vegas, NV 8.9 100
North Las Vegas, NV 8.8 113
St. Louis, MO 8.8 78
Phoenix, AZ 8.8 81
Indianapolis, IN 8.7 92
Atlanta, GA 8.7 120
Hollywood, FL 8.6 137
West Palm Beach, FL 8.6 120
St. Petersburg, FL 8.6 104
*Operating income from a property (annual rent minus upkeep, insurance and
management costs) divided by sale price. Sources: InvestorLoft.
Real Estate Investor · Philadelphia, PA · Member since 2009 · 22 posts · 8 votes
17y
There are many great areas to invest in all over the country right now.
If you are looking for maximum cashflows however, I suggest looking into student housing. Many colleges have old run down housing that will rent for top dollar once updated.
I am currently in philadelphia focusing on Temple University's Medical School area in the North section of the city. Philadelphia also presents great opportunities to flip in the south(more specifically, point breeze and the graduate hospital area). Check it out!
I like Florida as a longer hold. A lot of people have now left the state.
Originally posted by Anna Estes:
You could look into Bay and Walton counties of Florida that includes Panama City Beach, Destin. We are having a new international airport opening next May that suppose to bring lot of jobs and tourist to this area (new airport in the country in many years).