Whats the best place to buy real estate? I was browsing the internet and came upon this article for you interested in good places to invest.
If your a investor looking for a partner to invest in one of the hottest markets right now (According to Forbes), message me. I'm not selling anything buy just a newbie looking to invest and maybe be mentored.
Dude, that article is from 2012.
and yes, this I do believe a post like this would count as a solicitation by biggerpocket.com standards so it really needs to be posted in the marketplace forum anyway
thanks for that @Jean Bolger
I just get so exited sometimes. I have been researching real estate investing and investing in general for about 2 years and when i finally find something like BP. Well you have to understand my enthusiasm.
I stand corrected by my good acquaintance Jean.
Apart from the stale article, it's a good question. In my view, real estate is an intensely local business. The best place to buy is where there is huge demand and short supply.
Next to a university, a hospital, a new headquarters, a new oil industry expansion.... You get the idea.
Make sure you're next to high value property. So when you develop your property, you can borrow some high value from your neighbors.
@Christian Alcaraz SE Michigan...specifically Wayne County. This is according to an article on BiggerPockets in the spring of this year rating this area #1 for investing in Hold/Rental properties.
I agree with @Joe Villeneuve !
@Victor Menasce thanks for that info. high value properties. OK. nice! thanks great info. I only live in a place where thers a university. GO WILDCATS. I should of seen it. thanks for clearing that up.
@Joe Villeneuve , Michigan. OK, I really could not find that article but ill find it. But ill take your word. thanks for the info Joe.
As a way to attempting to redeem myself I did a thorough research and found another article on top 20 cities to invest in... and #19... Phoenix baby! So I wasn't that far off.
But the reason i bring this up was # 10 was Boise City, Idaho. Didn't Brandon Turner Or @Joshua Dorkin say something about this city in one of the podcast??? Its killing me i cant remember.
Anyways here it is:
no worries, enthusiasm is understandable, indeed, crucial.
Be very wary of anything in the mainstream press about real estate, especially "best/worst" lists. Most of that info is well past its sell-by date, if it ever had value at all. Or the methodology of how they are handling the information is just wrong. For instance, my area (Denver, CO) scores badly on a lot of "liveability" indexes in the weather area because the high temps are so high and the low temps are so low. What that ignores is the fact that those extremes are one week out of the year and the rest of the year the weather is mild and lovely. (just an example)
Awesome @Jean Bolger . I like your example, and it makes sense because when I was trying to look at different housing markets, depending on the type of economical point of view, the numbers were skewed. Totally different, therefor different cities ranked more than others.
Just like you said, your area. For example my area. ITS HOT 90% of the time. yet some would say its terrible to buy. Some would say its a... HOT market. lol
But I understand a little more on what your saying. Thanks, truly, very helpful advice. Definitely taking it into consideration.
@Christian Alcaraz Here is the link to the article mentioned above.
I'm rooting for Detroit and Michigan in general. I've lived in Michigan (Ann Arbor and Ypsilanti) and too infrequently return to vacation. I'd like invest there if for no other reason than to have a tax deductible excuse to visit. However, I think the article @Joe Villeneuve cites isn't the best endorsement of SE Michigan / Detroit. It's only measuring the rent to purchase price ratio and doesn't say anything about where the city is headed. Since I can't offer any insight into the pros and cons of investing in those kinds of "2% rule" areas besides what's already been covered in numerous other threads, I won't try. Suffice to say, it ain't for everyone.
There are other articles out there that tout Detroit as being on the verge of a big comeback. A burgeoning start up environment being one the big drivers. I really want to believe these kinds of stories. But then again I was reading similar stories nearly twenty years ago when I lived there. I have a fear that Detroit is the city of the future... and always will be. (Please prove me wrong.)
@Scott Pigman Being an ex resident, you are aware that the article speaks of Wayne county, and that Detroit may be part of Wayne county, the vast majority of Wayne county is not Detroit. In fact, Wayne county borders up against Washtenaw county where you are familiar with *AA and Ypsi). I don't invest in Detroit, but I do invest in the immediate suburbs and I can tell you that they are cash cows. The perfect mix of low taxes, high rents, and low cost to buy. You can't help but cash flow big. How does an all in cost of less than $50k sound, with a return of $5k in cash flow per year including 100% (cost) financing and a property manager?
This area allows the investor top buy/rahb with cash, and refi all that cash back out, still cash flow (as stated in the previous paragraph), and then use those same funds again on the next deal...and keep repeating this until...?
Thanks to the news media, I find that too many people outside of this area seem to think Michigan is actually inside of Detroit.
This are is the investors dream.
Yes the article speaks of Wayne County, which is a lot more than just Detroit, but the numbers it uses are skewed by what's going on in Detroit.
My point is that the article only looks at a single metric to determine the "best" market. If that's all you're going to go by, then you're probably going to end up in the worst part of Detroit. I'm sure it's not the only thing you consider or else that's where you'd be too. Like you say there's plenty in the area that's not Detroit proper. And there are people predicting a rebirth for Detroit, which will certainly help the outer areas as well. I hope they're right this time, even if I never invest a dime there.
I'm not trying to say SE Michigan isn't a good place to invest, just that there's more to look at than what's in that article. Like Fox Mulder, "I want to believe" :-)
I used to chuckle at people here in Maryland who'd say something about how horrible Detroit is when I mentioned I used to live out that way. "You're dumping on Detroit? Have you ever driven through Baltimore city? You've got plenty of your own problems." (For the record, Baltimore has plenty of great stuff too.)
One of the problems of using articles, and other interpretation of facts is the "take aways" are usually screwed by the author or sources own interpretation.
Having said that, when in doubt, I ask someone that is actually doing what I'm thinking about doing. All I can tell you is I'm doing this, and I'm not the only one. On top of it, many outstate investors are doing it as well.
This is a gold mine for holding properties.
@Christian Alcaraz - You might be thinking of my podcast? I am in Boise. By the way, there is no Boise "City", or at least we don't go by that. I am not sure how they came up with that name on the list. :)
Oh my god! @Jonna Weber Yes it was yours. Your are like borderline celebrity to me. Podcast 80 was the first one i heard. I accidentally downloaded this podcast. I had some REI knowledge but you basically paved the road to me and my families real estate investing strategy. So thank you, My wife and i are wanting to do what you did with your family.
Like zig ziggler said, your never know how far the ripples will go in the pond when you throw the pebble
@Christian Alcaraz - thanks for sharing! Happy investing.
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