REI Competitive Advantage - Is Serge Right?
My fiance and I are under contract on an incredible double around Cleveland, Ohio (Lakewood). I'm an economist and have a business background and found what Serge said about competitive advantage to be very compelling. In a BP podcast, Serge Shukhat said that competitive advantage is actually required to get significant returns.
This is very interesting to me as the doubles in Lakewood, Ohio are literally like a commodity in that they are all very similar in size and in most other characteristics as well. For example, most of them have about 1000 sf per unit and with small bedrooms.
The property we're buying was a lot more money but has A LOT more space. I found the the rent potential outpaces the mortgage growth as you move up the price ranges of the house. This fact blew me away because I always assumed the property had to be dirt cheap.
Is anyone else out there dabbling in a more rare type of property? I'm very exited to discuss niches and opportunities that require a bit more digging than what is on the surface.
What do you say @Ben Leybovich ?
Thanks!
Cary