Current Cheapest Market in the US?

Question

As the title suggest does anyone know what the current cheapest market (state) in the U.S. is? How are these numbers obtained and conclusions drawn? Are there websites that provide this data?

Rob Gillespie · Answer

I heard once a while back, it was Lima Ohio. My source was the national news.

Phillip Gainey · Answer

Michael,

Which areas of Dayton are good?  What do you think of Linden Heights?  Older part of town.

PG

Michael Lauther · Answer

I am currently investing in Dayton Ohio. you can buy Rehabbed rental property in workable neighborhoods and can be all in for 2 or 3 bedroom single family 800 square foot properties that sell for 25k to 30k and rent for $550 - $625. The properties cash flow well but it is not for the faint of heart. These are neighborhoods full of good people dealing with hard times. It is workable if you have good contacts near the neighborhood. If you work hard getting and keeping good tenants the return can be very good but don't think you will flip these properties any time soon. If your business plan is to flip you need to acquire properties in need of repair on decent streets which can be done for under $10k to 15K and put 7k- 10k rehab and then put them on the market for an investor like myself looking to buy and hold.  End investor could get 15% cash on cash return which is attractive to many self directed IRA holders.

Scott R. · Answer

depends what you are actually looking for. if your just going for cheapest period, detroit take the cake., as well as a few other places in the NW, ohio, some areas of new york, you can buy decent houses for $15k. My problem with these areas is theyre greatly depressed areas, and will be hard to rent and sell in the future. Houses need upkeep. a comp roof on a 1000sf house is around the same price. lets say that roof cost $2000, it doesnt make much sense to put a $2k roof on a house that cost $1k, in a market that you might never even get your purchase price back. I personally went to detroit to look at properties, youd be amazed how nice some of the forclosures are, but almost EVERY house youd buy needs paint, carpet. paint and carpet on a 1000sq house cost several thousand, plus maybe someone from detroit can shed some light here, the city is VERY involved in rentals in the city of detroit, which is why my locals invest in the suburbs and close cities from what i understand, where there are not $100 houses, not even $1000 houses, maybe $10k houses. There are areas in Kansas, Oklahoma, Texas, where you can buy a decent house, in a lower class area for $15-20k. IMO that makes more sense then investing in these $1000 houses you probablly cant rent and will sink too much money into to get your money out. Now on the other hand, if you have $3k into a house, get one tenant at $300 a month, rent for a year, its free and clear.., 
Taxes are high in Detroit.

Jon Holdman · Answer

Realtor.com shows 18 houses in Detroit for $100 or less.  None in Dayton.  Don't look like doghouses to me, but then I once heard of someone who bought a brand new Avion travel trailer for a dog house so what do I know.

Omarwali Jones · Answer

must of been a dog house foreclosure...........lol

Dick M. · Answer

I was looking at realtor.com for fun, and it was either Detroit or Dayton had MLS listings for 50 and 100 dollars!!

Travis Elliott · Answer

I live in Butte America ( Butte Montana to you outsiders) and it is too small for that list.. Is there another list for towns in the 35,000 range..

Thanks

Travis

Guy Gailliard · Answer

Detroit is a great place to buy.

Phillip Gainey · Answer

Wow! $500!  That is cheap!  Does that come with a view of the crack house next door?  Please send me a brochure.

My address is:

Phil G. Shill
1456 Dang Fool Rd.
Insanity, BC. BC145E

Thanks aye!

:D