Multi-family/ Apartment Investing
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Cincinnati, OH · Member since 2016 · 116 posts · 83 votes
2yIm investing in Cincinnati Ohio. Everything is very cheap compared to other cities, and lots of multi families for sale with rents half of the market price. These properties can throw off serious cashflow with some new paint and floors. So I think its a great market, Im not sure how it stacks up to Detroit or any other city in the mid west. Also things here are more or less steady and predictable, no crazy boom and bust cycle like Phoenix for example.
32 Replies
- 2ySam McCormackBusiness MemberReal Estate Agent · Cincinnati, OH/NKY · Member since 2021 · 1k+ posts · 833 votes
Quote from @Porsha Fross:
Quote from @Sam McCormack:
Quote from @Grant T.:
I am curious, if anyone is willing to share. Don't have to be too specific but i think a post like this can help a lot of people out.
Where are you currently investing in/looking to invest in multi family and why?
Personally, i am looking at Columbus Ohio, Louisville Kentucky, and smaller cities in Illinois.
I am leaning away from Columbus currently because everything is so expensive, I'm assuming due to projected appreciation. I like Louisville a lot because it seems like there are some areas where crime is low and pretty good rents for the money and Illinois has a lot of smaller cities that have great demographics. I know Columbus is great, but i'm currently looking for cashflow> appreciation.
Any responses would be great, weather you don't own a single property or own 1000. Love hearing others thoughts. Thanks.
Greater Cincinnati market has a lot to look forward to. Growing areas, landlord friendly, cash flowing, appreciating areas, etc.
Northern Ky (NOT Louisville) is over shadowed by Cincy a lot so there is a lot of potential there just like Cincinnati. Let me know if there is anyway I can help!
@Sam McCormack do you have an investor-friendly agent in Cincinnati and Northern Ky that you recommend?
Just sent a message
Sam McCormack Realtor Quote from @Porsha Fross:
Quote from @Sam McCormack:
Quote from @Grant T.:
I am curious, if anyone is willing to share. Don't have to be too specific but i think a post like this can help a lot of people out.
Where are you currently investing in/looking to invest in multi family and why?
Personally, i am looking at Columbus Ohio, Louisville Kentucky, and smaller cities in Illinois.
I am leaning away from Columbus currently because everything is so expensive, I'm assuming due to projected appreciation. I like Louisville a lot because it seems like there are some areas where crime is low and pretty good rents for the money and Illinois has a lot of smaller cities that have great demographics. I know Columbus is great, but i'm currently looking for cashflow> appreciation.
Any responses would be great, weather you don't own a single property or own 1000. Love hearing others thoughts. Thanks.
Greater Cincinnati market has a lot to look forward to. Growing areas, landlord friendly, cash flowing, appreciating areas, etc.
Northern Ky (NOT Louisville) is over shadowed by Cincy a lot so there is a lot of potential there just like Cincinnati. Let me know if there is anyway I can help!
@Sam McCormack do you have an investor-friendly agent in Cincinnati and Northern Ky that you recommend?
I do, in Kentucky i use Luke Andrews and Cincinnati I use Tryfon Christopforou. Both are great and very knowledgeable.
- 2yRobert EllisBusiness MemberDeveloper · Miami, FL · Member since 2014 · 3k+ posts · 1k+ votes
Quote from @Grant T.:
I am curious, if anyone is willing to share. Don't have to be too specific but i think a post like this can help a lot of people out.
Where are you currently investing in/looking to invest in multi family and why?
Personally, i am looking at Columbus Ohio, Louisville Kentucky, and smaller cities in Illinois.
I am leaning away from Columbus currently because everything is so expensive, I'm assuming due to projected appreciation. I like Louisville a lot because it seems like there are some areas where crime is low and pretty good rents for the money and Illinois has a lot of smaller cities that have great demographics. I know Columbus is great, but i'm currently looking for cashflow> appreciation.
Any responses would be great, weather you don't own a single property or own 1000. Love hearing others thoughts. Thanks.
buying existing inventory is only one strategy. you need to study other strategies and not just depend on the same one. look at buidling for profit or building to hold. both work very well here. I have tons of support for columbus. don't give up on it just yet.
Section 8 Launch52 Reviews - Rental Property Investor · Member since 2023 · 2 posts · 5 votes2y
I feel that most people have said but I fully agree that with Multi-family that you could house hack. Basically you live in one unit and someone else lives in the other, you basically have rent pay for the mortgage and live basically for free. Now I have one myself and I really like it cause the person living in my other side wants to live long term and already loves to take care of the house. So if I plan to move I know that he would be more than happy to take care of the house and whoever rents my section. Or if anything he could rent the whole thing. Now not everyone is that lucky so if you do get a multi-family you almost have to be the property manager or higher one if you were to move. If you want to talk more I'd be happy to!
@Grant T.- thanks for the post ...fyi - if you will need to use a loan to buy - make sure you are pre approved for both the multifamily ( 1-4 unit) idea as well as the apartment building idea ....these are 2 different scenarios as the apartment buidling will need a commercial type loan
- Member since 2023 · 112 posts · 70 votes2y
Quote from @Grant T.:
I am curious, if anyone is willing to share. Don't have to be too specific but i think a post like this can help a lot of people out.
Where are you currently investing in/looking to invest in multi family and why?
Personally, i am looking at Columbus Ohio, Louisville Kentucky, and smaller cities in Illinois.
I am leaning away from Columbus currently because everything is so expensive, I'm assuming due to projected appreciation. I like Louisville a lot because it seems like there are some areas where crime is low and pretty good rents for the money and Illinois has a lot of smaller cities that have great demographics. I know Columbus is great, but i'm currently looking for cashflow> appreciation.
Any responses would be great, weather you don't own a single property or own 1000. Love hearing others thoughts. Thanks.
Hello!
I invest in several states and will simply give you the basics of what I want from a city when buying rentals!
#1: City-Metro (Including suburbs, etc.) Has to have a population over 500,000. With a population this size, you have less labor issues (more people to keep labor cheap), a built in growth machine for appreciation/rents due to babies born and people moving there, and the city is well-known.
#2: Landlord Friendly - call local property managers/eviction attorneys and see what the average eviction time is and if the judges give landlords a lot of trouble. Ask how its like to be a landlord in the state and if its a headache or loses money. Forget it.
#3: Check taxes and insurance for the state. Landlording is a LOW MARGIN business and high taxes or insurance will kill your margins quickly or not even give you any margins on the buy in the first place!
#4: Appreciation Play vs. Cash-flow Play - figure out why you're buying rentals in the first place. Appreciation or Cash-flow. You get both with any rental property, but sometimes you get more with "nicer" properties but not always. I only buy for Cash-Flow as I don't like putting money into an investment that can't pay for itself. Appreciation plays can start eating your regularly income if your not careful.
#5: Cash-flow plays are incredibly hard to do in most cities nowadays. The purchase prices, rent rates, and mortgage rates are so out of whack that its really hard to get cash-flow. But in general, here are some simple buy rules: You can't pay more than $200k for a SFH, can't pay more than $300k for a Duplex, 350k for a Triplex, and 400k for a Quadplex. Which averages out to about 100-125k per door. I personally don't buy anything over 85k a door, but people like "nice" stuff. You can go higher but can't break the 1% Rule.
So it's less about "where are you buying" and more about finding cities that meet these criteria and you would like to build a rental portfolio in.
L. Thomas - Investor · Miami, FL · Member since 2015 · 355 posts · 268 votes2y
Glad to hear there's cashflow investors still out there. It feels like most deals done these days are by appreciation buyers.. Team cashflow needs to make a comeback!
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