Investor · Chelsea, AL · Member since 2016 · 13 posts · 5 votes
Hi all,
I am new to BP and also new to real estate investing. I live near Birmingham, AL and have so far done investing in a city about 45 min from Birmingham. I would like to move into the Birmingham market but had a question as I am searching. I have been advised in my searching that I should stay away from certain areas due to them being very low end and possibly higher crime areas. Even in the smaller town near Birmingham I have received these warnings. I feel like there are great opportunities in some of these places and I am pretty open to buying anywhere, but would love to hear some criteria that others use when buying in some of these labeled areas.
Just for context as well my focus is buy and hold (rentals).
Welcome aboard Jason. You will need to learn the neighborhoods that "just steal" and the ones that "shoot and steal". Ride thru an area between 11am and 2 pm and it will give you a good idea.
Rehab can run 5k to 20 for buy and hold. Rent for 3BR can go from 650 to 1650 depending on schools.
I suggest you do a couple of things. One, think about joining the AIA -http://www.aiaclub.com/. They meet every 4th Monday at Homewood Senior Center. Good folks and you will learn a lot. Second, try to learn the zips and the schools with those zips. Jefferson County schools usually get more rent than Birmingham, Midfield, Bessemer and Fairfield with a few exceptions.
I can't tell you anything about the type of neighborhood without a street name, zipcode, or neighborhood. Got to be more specific. What smaller town near Bham are you talking about?
Example: The difference between Tarrant City and Pleasant Grove is like comparing "The Heat of the Night" vs. "The Andy Griffith Show".
Anastasia Jordan I have done done buying in Sylacauga already. I have actually read some other posts in the forum and read just as you said that even streets alter thinking on go vs no go. I really don't have specific houses or area within bham that I'm looking at. I will have to do a good bit more homework before pulling the trigger in bham.
@Jason Jebeles let me know how I can help. I've been involved in investment real estate in Birmingham since 2003. I own personal investment homes and am also a turnkey provider that helps investors get into properties with a ton more equity than most outfits in town.
@Jason Jebeles that is a very vague question. We deal with 3 classes of neighborhoods and houses in all sorts of conditions. Shoot me an email and let's set up a call for next week.
Welcome aboard Jason. You will need to learn the neighborhoods that "just steal" and the ones that "shoot and steal". Ride thru an area between 11am and 2 pm and it will give you a good idea.
Rehab can run 5k to 20 for buy and hold. Rent for 3BR can go from 650 to 1650 depending on schools.
I suggest you do a couple of things. One, think about joining the AIA -http://www.aiaclub.com/. They meet every 4th Monday at Homewood Senior Center. Good folks and you will learn a lot. Second, try to learn the zips and the schools with those zips. Jefferson County schools usually get more rent than Birmingham, Midfield, Bessemer and Fairfield with a few exceptions.
John Patton thanks so much for the link as well as the tip on Jefferson county school. That is a great starting point for my research to begin. I've lived near bham all my life but starting to think of things thru the investor lens is a new undertaking.
I too am strongly considering expanding my REI to Birmingham. There is huge opportunity there. You definitely should do your homework and figure out what area you would like to invest in and what criteria you are looking for.
I'm in Atlanta and have seen quite a few areas turn drastically in a short period of time... so I'd advise against excluding certain areas because of what you see when you drive through at 11am-2pm. You have to dig deeper. See what areas have monies allocated to rehabilitation projects, what's going on in the surrounding 1-4 block radius, what are the rental/flip stats, etc.
Most of all, consider what your personal comfort level is in dealing with particular areas and how does it fall into place with where you aspire to be with your REI goals
Local Atlanta Areas such as Kirkwood, Edgewood, Inman Park, GLENWOOD, etc... Were all "shoot and steal" areas not that long ago... And now they demand top dollar ($400k - $800k).
Hopefully this helps put some things into perspective.
Welcome aboard, Jason.( I'm your neighbor in Shelby county). I've also been sceptical about investing in some areas in Birmingham... however, they are all not created equal so to speak. If I drive into a neighborhood and it sscares me being there, I'm not going to invest there. Some parts of and near Birmingham downtown are exactly that....others moving slightly away are stable neighborhoods with great investment potential. Hope to see you at the Homewood meeting, I plan on checking that out also and learning and networking. Thanks to the members on the info above.
what's up Jason. I'm new to the real estate game too. The only person that can answer that question is yourself by just coming to the areas. All "bad" named areas aren't all that bad. Now I'm not saying pick the neighborhood that's says I'll rob you, but I am saying that by looking around the neighborhood you will find you answer, I'm sure.