Cleveland Duplexes in Neighborhoods with Foreclosures

[Steven Murphy]

Hi everyone, I'm looking into Cleveland for some duplexes or triplexes. The main two neighborhoods I'm looking at is Euclid and the triangle neighborhood formed between Cleveland Heights, University Heights and Coventry Village. The cash flows seem strong and they seem to have price-rent ratios in the 1.5-2.2 range. The thing is, is that there seems to be a ton of foreclosures in this Cleveland heights/university heights-ish area. Can anyone shed some light on this? the neighborhood seems like B or maybe A-, very nice area, so not sure why this is. Is that a big red flag to avoid? I havent read any books or articles on this situation. 

Thanks

[Robert Matelski]

Originally posted by @Nicole Heasley Beitenman:

@Steven Murphy Based on your question, I'm operating under the assumption that you haven't even visited Cleveland yet. You need to spend more than just a few days there to really get to know the market. 

You're also getting a lot of advice from people who aren't actually from Cleveland. It isn't bad advice, but you also need to connect with folks who live in Cleveland NOW as it's changed drastically in the last 10 years. I second Georff's advice. You need to connect with James Wise and other people who invest AND live in Cleveland.  

There are plenty of people who don't actually live in Cleveland "NOW" but still know the market extremely well. I am an out of state investor who lives 2000+ miles away, but I am pretty sure I know the market far better than you.