Apartment Buildings in Detroit are MAD CHEAP!

[Samson Kay]

I know some people on here have some opinions about detroit :::cough::: @Joshua Dorkin

A 39 unit building in Palmer Park is selling for 350K+. Another 140 unit building is selling in the low million just outside of detroit. I just got offered an engineering job that is seeking talent to expand operations outside of the state so from that standpoint it seems that jobs are comming back.

For an investor from New England, the prices are outrageous... in a good way. To buy a building like these even at subpar rents and to hold it for a decade if industry is coming back to detroit would be a good long term play in my opinion if the socioeconomic factors are trending in the right direction.

What do you guys think?

[Edward Burns]

While I am not from Detroit, there is no doubt in my mind that it will make a least a partial recovery. It is still located with an abundance of water and transportation options. I just do not know how long recovery will take. In addition, I do not know the real status of the infrastructure. However, even assuming a recovery occurs you are making a mistake if you try to evaluate property values in the Midwest and particularly Detroit based on values in the Northeast. So be careful and compare values and investments to others in the same area.