This is my latest purchase in Rouge Park, Detroit, a desirable location.
Posting this thread will give you all an indication on just how HOT this market is.
This house is just an average home but it is pretty much rent ready.
This property went down the road of highest and best, with 14 contracts.
I secured and closed on this yesterday.
Purchase Price - $38,000
I expect rental income will be somewhere around $750-800 per month.
On my calculations/numbers I expect approximately 14% net returns. Not planning to sell as I expect appreciation to work its magic for me. Don't you love rising markets.
Well, I am bullish on Detroit, but really the downtown area. Which is not really an entry level place to invest. Cass Corridor, Corktown, etc.. The outlier neighborhoods are mostly challenged.
Sure, I get this, but it is a much higher entry point it wont cash flow and of course it has already taken off.
What I have found from my personal experience is when markets start to rise it will impact on most suburbs even lower entry. This happened in Atlanta and now seeing some up and coming neighborhoods like Bagley going gangbusters....
Bring it on I say