Rental Property Investor · Edmond, OK · Member since 2018 · 5 posts · 1 vote
I am interested in investing in the Tulsa, Oklahoma area but I am not quite sure which area to invest in.
A close friend of mine, who has been investing in the North Tulsa area for over 6 years, highly recommends North Tulsa as a starting point because of the opportunity to purchase cheap, distressed properties.
I have done extensive research on the North Tulsa area and I discovered that North Tulsa has an extremely high crime rate. My good friend believes that the area will improve in years to come.
These questions get tricky for agents as we aren’t to steer people to or from any particular area. It also opens up things for me in terms of refusing to label entire areas as bad, but, I’m getting philosophical.
Look up some of the articles by the Tulsa Development Authority. They have a good website more desktop friendly and they outline some plans to revitalize North Tulsa.
What some people point out is that N Tulsa is different than the Turley area. Also, some would say that they focus south of Apache. However others go further north and focus on Section 8 and do well long term.
I’m a big believer in the idea there is no such thing as “the” market or “a” market. There are markets inside markets. There are strong comps and strong rates of appreciation in N Tulsa right now to be had in specific areas. This varies a lot by the neighborhood etc. Other areas mentioned earlier are more linear in progression but offer cash flow.
There are other developments in the area that fascinate me. I’m a big believer in the future growth of this area. So much so I chose to live here in my primary residence, in NW Tulsa specifically. I am also under contract on something I will either flip or Brrrr nearby.
@Son Tran Initially, investing in Edmond or Oklahoma City was my plan but I feel like the Oklahoma City and Edmond market is too saturated, thus, making it impossible to find a deal that best fits my model.
If you are looking to start investing up in Tulsa I would keep on the lookout for the areas you know about in edmond/okc or potentially look into other areas of the metro too just for options while you are researching.
These questions get tricky for agents as we aren’t to steer people to or from any particular area. It also opens up things for me in terms of refusing to label entire areas as bad, but, I’m getting philosophical.
Look up some of the articles by the Tulsa Development Authority. They have a good website more desktop friendly and they outline some plans to revitalize North Tulsa.
What some people point out is that N Tulsa is different than the Turley area. Also, some would say that they focus south of Apache. However others go further north and focus on Section 8 and do well long term.
I’m a big believer in the idea there is no such thing as “the” market or “a” market. There are markets inside markets. There are strong comps and strong rates of appreciation in N Tulsa right now to be had in specific areas. This varies a lot by the neighborhood etc. Other areas mentioned earlier are more linear in progression but offer cash flow.
There are other developments in the area that fascinate me. I’m a big believer in the future growth of this area. So much so I chose to live here in my primary residence, in NW Tulsa specifically. I am also under contract on something I will either flip or Brrrr nearby.
One thing to keep in mind is that generally highly distressed and super cheap properties are that way for a reason. People can have success in any area, but it really just depends on your comfort level. Rehabbing properties in distressed areas can help turn areas around, but you need to look at the current picture of the area to decide if it meets your goals. Like any other speculative investing, you need to make sure you are okay holding the properties if whatever you are expecting doesn't happen. Some examples of these kinds of speculative investing could be home values going up, crime going down, hoards of hipsters moving in and increasing market rents, etc. Buy based on current hard data and that way any improvements or appreciation to the area is just a cherry on top of a solid investment.
I used to own rental property in North Tulsa. Right by Booker T. Washington HS off Peoria. People have tried to revitalize North Tulsa and nothing really ever takes hold. The area has higher crime than the rest of the city but there are also many more good, hard working people that pay their rent on time and take care of the property. I think choosing good tenants in that area would be paramount to the success or failure of your investment in North Tulsa.
Hi @Kingsley Edemidiong, since you are keen on distressed property you need look no further than North Tulsa! All the TU alumni I know testify to the roughness of the area, but if the rents work now in terms of R/Value ratio, then it could be a good buy-and-ride play.
I would be leary of thinking that anything about Tulsa is different than OKC. (I mean yes, OKC is better in every single way . . . until you talk to a Tulsan who says the opposite). Tulsa, OKC, and Wichita are eerily similar markets and you'll find, after digging a bit, that there is just as much inflationary pressure on BRRRR-type properties and single family homebuyer properties there as there is here in OKC.
To second what others are saying, when you invest your time in a real estate market, it is easy to feel like "EVERYONE" is trying to do what I am trying to do! When really, you are just a part of that world now. In reality, most people are not investing or making prudent financial decisions at all. I am willing to bet if you dove into the Tulsa area you will soon realize that it comes across the same way, everyone is trying to invest there as well. So even though some areas are more hot than others, I assure there are plenty of hot markets out there with opportunities if you are willing to look.
I agree with @Will Fraser Will the Thrill Fraser. OKC and Tulsa are very similar markets. In OKC, the south side is rougher than the north. That's flip flopped in Tulsa. But suburbs, architectural styles, culture ... the cities are very similar.
@Kingsley Edemidiong I would try to identify where you might have an advantage over the competition. Any market will work just fine but we tend to do best in the markets that we find enjoyment and have a bit of a leg up in. I know people that do great in north Tulsa and I know some people that do great in all other areas of Tulsa. What I have found is that the people doing the best in a market tend to have something figured out about that market that no one else seems to have figured out or at least very few others. Find your natural strategic advantages and areas you are passionate about and they can help to point you in the direction of the market to get started in and will most likely find the quickest growth in. Hope this helps and good luck!