Best Cities to invest in under $100k

Buying & Selling Real Estate
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Best Cities to invest in under $100k

David W.
Investor · Los Angeles · Member since 2018 · 134 posts · 117 votes

Nooby question here! Does anyone know where I can find a list of or advise me on the best cities to look for investment opportunities (rental) under $100k? Ideally, I would like to start with $50k property but $50k-$100k is my threshold. I live in Los Angeles and you won't get anything in a safe area for $700k+. 

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Janett Lewis
Investor · St. Louis, MO · Member since 2016 · 65 posts · 82 votes
8y
@David Waddleton I moved from San Diego to St. Louis specifically for this reason. I have 7 houses here and purchased them all over the past year. I paid 22,000-34,000 and they are all rented from $895-1200. Cashflowing 50% at least after taxes and insurance and maintainence are paid. For $50,000 you can get a turnkey property that’s Cashflow positive! Just have boots on the ground or someone you trust in the area. You could develop a relationship with someone on BIgger Pockets!
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  • Kanwar Sodhi
    Real Estate Agent · Chantilly, VA · Member since 2016 · 245 posts · 61 votes
    8y
    @Brian Garlington Have you looked into Cleveland?
    0Reply
  • Guy Gafni
    Member since 2018 · 3 posts · 0 votes
    8y
    @John Hickey And how the business going there?
    0Reply
  • Guy Gafni
    Member since 2018 · 3 posts · 0 votes
    8y
    @Janett Lewis where in St Louis?
    0Reply
  • Sebastien Hitier
    Rental Property Investor · Hong Kong, Hong Kong Island · Member since 2014 · 188 posts · 114 votes
    8y

    @H W Beckley, I collected the data myself.

     I used census data per MSA (metropolitan statistical area) with 2000-2015 growth to identify fastest growing cities and then identified postcodes with a Trader Joe in those MSA. then I used Zillow to determine the median price and median rent. 

    I did this research back in May-June 2018. Anyone is welcome to PM me to get the data.

    2Reply
  • Willie Smith
    Real Estate Broker · NC · Member since 2013 · 33 posts · 13 votes
    8y
    @Craig Boutte what’s the ARV on these properties?
    0Reply
  • Henry Marshall
    Specialist · Cincinnati, OH · Member since 2018 · 87 posts · 13 votes
    8y
    @David Waddleton here in Cincinnati ohio
    0Reply
  • Selina Banda
    La Vergne, TN · Member since 2016 · 93 posts · 28 votes
    8y
    @Nathan DeJonge well said, and to the point
    0Reply
  • Tammy D Webb
    Member since 2018 · 1 post · 0 votes
    8y
    @Marcus Tukes I would be interested, also. I am currently looking for my first rental property, and want to start relatively small, to get my feet wet. I'm most interested in multi family. I live in Arkansas, and would like for it to be within reach, if it needs repairs, but would consider other areas. Thanks!
    0Reply
  • Nahum George
    Rental Property Investor · Seattle, WA · Member since 2018 · 11 posts · 0 votes
    8y
    Originally posted by @Brian Garlington:

    I'd look at Cleveland.....next I'd look at Cleveland....if that doesn't work out....look at Cleveland like I did.

    Agents and PM's at Holton-Wise......like I did

    0Reply
  • Nahum George
    Rental Property Investor · Seattle, WA · Member since 2018 · 11 posts · 0 votes
    8y

    Hi Brian, I heard so many people saying to invest in Cleveland, can you please clarify why this area is good for rental property investing?

    Thanks in advance for your time and info.

    0Reply
  • Scott Carson
    Note Investor · Austin, TX · Member since 2012 · 602 posts · 357 votes
    8y

    I love the midwest as a note investor.  Affordable houses and great rents!

    0Reply
  • Account Closed
    Rental Property Investor · Sacramento, CA · Member since 2015 · 1k+ posts · 893 votes
    8y
    Originally posted by @Earl Hatmaker:
    @Elliott Elkhoury don’t throw Ohio under the bus! We have great sub markets in Dayton and in Cincy at great price points!

     If anything I'm doing you a favor Earl! Don't go telling the world about your great sub markets!


    Feel free to DM me to exchange some market secrets though :)

    0Reply
  • Anthony R.
    Property Manager · Lakewood, OH · Member since 2015 · 250 posts · 258 votes
    8y
    Originally posted by @Nahum George:

    Hi Brian, I heard so many people saying to invest in Cleveland, can you please clarify why this area is good for rental property investing?

    Thanks in advance for your time and info.

    This area was hit hard by the financial crisis. There's still a lot of good deals out there and the rent margins are good for the purchase prices. That's why it's a good area. 

    0Reply
  • Kayla Huiras
    Investor · Little Rock, AR · Member since 2016 · 73 posts · 16 votes
    8y
    @David Waddleton Arkansas!
    0Reply
  • Michael Swan
    Rental Property Investor · San Diego, CA · Member since 2014 · 1k+ posts · 2k+ votes
    8y

    Right now in NE Euclid, OH and Lake County, OH, I presently have ZERO vacancies out of 120 front doors.  Knock on wood!!  I am pushing 2br 1bath units to $750.00 for about 900sf, plus $25.00 pet rent, per pet, two pets max.

    Those are on 8 apartment complexes total. I also have an LOI out for a 60 unit and a 24 unit in Lake County too. The last 34 unit deal I had was at about $33,000 a door in a solid blue collar hard working neighborhood in Lake County, Ohio. Very difficult to find deals in these areas I invest for Apartment complexes. If you want 1-4 units in these areas, I would get about 8 residential agents with offices in NE Euclid and Lake County to find you these deals, before they get listed on the MLS. Back in 2014-2015 they were all foreclosures, bank owned, short sales etc.. that has all but dried up out there. You need to hustle to find them, before other investors scoop them up.

    I leave Mon, Tues, and Fridays available to talk and advise BP members on the phone and just to talk RE from 3;15-6:15 PST.  I live in San Diego.  Listen to podcast 238 and then reach out to me. 

    Take care,

    Swanny

    9Reply
  • Michael Yan
    Rental Property Investor · Vancouver, Bc · Member since 2018 · 4 posts · 0 votes
    8y

    Thanks for everybody and appreciate all the info contributed here! 

    I'm very interested in this topic and would like to know the more filtered result or info, This will be really appreciated and help a lot for my investment decision.

    Plus, if possible let organize a team to share agent, mortgage broke, insurance, property manager, handyman info, this will help all of us to make the process more smooth and efficient. 

    0Reply
  • Tashia K campbell
    Member since 2018 · 19 posts · 3 votes
    8y

    Dave this site has been very helpful to me in determining where I want t stay away from.

    https://communitycrimemap.com/

    0Reply
  • Michael Yan
    Rental Property Investor · Vancouver, Bc · Member since 2018 · 4 posts · 0 votes
    8y

    @Sebastien Hitier,   Hi Sebastien,    I'm very interested in your date,Can you share your data with me?  

    Thanks in advance!

    Michael

    0Reply
  • Susie Amoguis
    Grand Prairie, TX · Member since 2017 · 2 posts · 0 votes
    8y
    @Janett Lewis May I know which areas/zip codes of St. Louis you are investing or referring?
    0Reply
  • Waimanamaikailani Boynton
    Member since 2018 · 2 posts · 0 votes
    8y

    try texas

    0Reply
  • Scott Moulton
    St. Louis, MO · Member since 2018 · 26 posts · 23 votes
    8y

    I see a lot of out of state investors asking about midwest cities, but then I also hear a lot of people say there are still plenty of opportunities in places like CA, FL,  TX, etc.  Ironically I've heard St. Louis investors talk about how this market isn't that great and suggest looking outside STL.  Wondering how much of this is the "grass is always greener" effect.  Also wondering if investors are going to start moving away from metro to mid-size markets in the 40k to 100k population range.

    1Reply
  • Nathan Shipley
    Member since 2018 · 6 posts · 3 votes
    8y
    @Cory S. Thank you for the info. Currently looking into Long distance now.
    0Reply
  • David OunanianBusiness Member
    Real Estate Broker · St. Louis, MO · Member since 2017 · 381 posts · 195 votes
    8y

    @Scott Moulton I think you are right so many people in St Louis don't see it!  There are solid B areas where you can buy a house for under $100k that rents for $1000+/mo.

    CASHFLOW NATION536 Reviews
    WebsiteView Page
    1Reply
  • David W.
    OP
    Investor · Los Angeles · Member since 2018 · 134 posts · 117 votes
    8y
    Originally posted by @Matt Nusbaum:

    @David W.They are out there (midwest) but I'd maybe look for a turn key provider to help you out as well.

     @matt Nusbaum: Thanks! What do you mean by a "turn key provider?"

    0Reply
  • David W.
    OP
    Investor · Los Angeles · Member since 2018 · 134 posts · 117 votes
    8y
    Originally posted by @Jack Bobeck:

    Florida not even in the top 50 of the Realtor.com’s 2018 Top 10 Hottest ZIP Codes

    Always look at the data! 

     This is very conflicting. I have read other articles where numerous cities i.e. Orlando in top ten but this one is not. How do I do my own research. Easy to say find cities with pop growth, growing companies with job opps but where do you go to find this info?

    0Reply
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