Newbie investor in Las Vegas looking for advice

[Jim Owens]

Newbie here looking to start investing in real estate. I live in Las Vegas and I would like to start investing there. I have been interested in real estate for a while but I did not know where to start. My goal is to start small by purchasing a sfr, condo, or 4 plex to rent and eventually move up to bigger properties, learning as I go. I know I am going to make mistakes and I feel if I start with smaller properties I can limit my risk...

I have been analyzing different properties for a couple months and I can't find anything on the market that cashflows worth a darn. I see fourplexes, in terrible locations, for 500k plus that rent for $750 per unit and 350k houses that are lucky to rent for $1800. I've heard the 1% rent to purchase ratio rule is dead and I would be lucky to find .5%. At .5% I would be losing money every month.

Should I be looking somewhere else to find deals that cashflow? I don't need a home run but I was trying to cashflow $100 per door and 8% ConC return.

I've searched for Wholesalers in Las Vegas but haven't had much success with that yet either.

[Chris Unice]

Hi @Jim Owens, 

I'm located in the Las Vegas area -- Henderson to be exact. I am also in the hunt for condo rentals. I was using the same $100/door criteria for vetting deals but have recently shifted how I'm evaluating deals and started to look at a longer return horizon since the market is so competitive currently. For example, if its a property in a quality location that cash flows within the first three years I'd be happy. 

Best of luck in your search!