Hi I'm new to the Bigger Pockets site. We want to buy in the Kansas City Missouri area. Probably a SFH around 50,0000. Does anyone have advice on what area is the best, and a couple of Property Management companys that have great customer service? Any advice would be greatly appreciated.
@Beth S. Are you looking to buy something that is rent ready at that price? If you are, I will tell you up front that is going to put you in a very low income and hard to manage area. For an out of state investor IMHO that is asking for trouble.
@Beth S. , Larry is spot on. Nothing in a B or C class for that price, much less an A.
So is it impossible to invest in the Kansas City market unless you are dropping 150,000 or more to get a decent property. Or can you start out with something small in lets say a c class property that cash flows ?
What's wrong with doing that ?
@Beth S. ,have you done analysis of the market? KC is red hot right now. There is zero wrong with C class neighborhoods but I guess a few questions. (I long distance landlord)
Have you been a landlord before? Have you land lorded long distance? Do you have a person in the local area to look after your asset? Are you going to use a turnkey company? PM? (Both a turnkey and PM cut into your cashflow/profit margin)
The above info focuses on day to day management/operation only, which is where you make your money. If you find the right C class neighborhood sure you can get a good deal but you need to know what you are doing. But you still won't find something for 50k in one of those neighborhoods.(unless you direct market and find someone who truly needs to sell for cash quickly)
No matter what you are looking for you will be hard pressed to find something for 50k that isn't in a war zone. Bottom line.
Definitely need to consider all of that, don't want to buy in a war zone. So do you think it would be better to wait and save and buy a more expensive but better B class home. I do plan on using a property manager company. I'm am talking to several to find the best fit. Thanks for your advice.
Welcome to B/P you will find B/P a great resource, you will get back what you put in but the time on B/P has been well worth it. I have been on this form for over 2 years now and have met some great people here. Yes I do know of some good connections in KC for you. I do not buy houses I am a land guy but have some connections to strong wholesale properties there. If you leave your contact info I will pass it on to the appropriate parties.
Good luck here,
@Beth S. If you are buying turnkey in KC, you should be able to do something in the $79-100k range and get a solid working class neighborhood with stable tenant class, with rents in the $900 -$1100+ range.
Hi @Beth S. , welcome! I know this is probably a little late but here is a good forum you should follow if you're still interested in the KC market...
First Kansas City Turnkey Purchase on the BiggerPockets forums
@Beth S. I agree with everyone else. I live here in KC and I think you need to save up to afford homes $75k+ to get a better neighborhood for whatever you're looking for. It's not worth dealing with the headaches that will eat away at your bottom dollar. Although this is a cash flow city, some areas are appreciating a bit so you'd have a better shot at capturing that too if you can afford a higher investment.