Finding a cash flow market

13 Replies

Hey my names Sean and I’m a full time car salesman living out of Maryland. I’m looking to hop into the small multi family space and was wondering what markets are better for cash flowing so I can get started on the basics. I was thinking Nashville or Orlando. I don’t have a ton of capital saved up yet but my job pays well enough and I have been putting money aside while I do my research and practice running my numbers. Any advice for getting started? Any class or courses you would recommend? Most importantly what markets would you say have great cash flow?

@Sean Beksinski congrats on jumping in! Small multi family is a great place to start. If you have not already considered it, from personal experience I cannot say enough good things about starting with a house hack. It lets you learn to manage your own properties and to understand what goes into that. I feel it positions you better to hire someone to manage your portfolio later, and it lets you use an FHA loan to get into it as it will be owner occupied. I am not familiar with Maryland as a market however so I am not sure how feasible that is. I'm in Columbus OH where you can still buy a well rehabbed duplex in a decent area for the mid $300's...So might be a little different.

As far as resources I've loved the "house hacking success" podcast and their youtube channel is great.  I'm also loving "crushing it in commercial real estate" which is more about larger multi family units but the advice on self managing in it is absolutely amazing! 

If you are interested in what Columbus has to offer in more detail don't hesitate to reach out.  Happy to share my own properties numbers or to show you some others that are available currently.  cheers!

There's a very cheap multi-family investing course on Udemy.com that I briefly went through. Might be worth checking out. Also read "What Every Real Estate Investor Needs to Know about Cash Flow."

If you're just getting started, I'd recommend researching properties in your area, but if it's too expensive then I'd suggest looking at the midwest for cash flowing properties.

Originally posted by @Sean Beksinski :

Hey my names Sean and I’m a full time car salesman living out of Maryland. I’m looking to hop into the small multi family space and was wondering what markets are better for cash flowing so I can get started on the basics. I was thinking Nashville or Orlando. I don’t have a ton of capital saved up yet but my job pays well enough and I have been putting money aside while I do my research and practice running my numbers. Any advice for getting started? Any class or courses you would recommend? Most importantly what markets would you say have great cash flow?

 Hi Sean, I would certainly suggest taking advantage of the training and tools that BiggerPockets has to offer. I would also try to start building your Core 4 in the market you want to invest in. 

@Sean Beksinski   Great to hear you are starting your Real Estate Investment journey! Have you given Oio any thought? Cincinnati, Cleveland, and Toledo are all great markets. 

Originally posted by @Sean Beksinski :

Hey my names Sean and I’m a full time car salesman living out of Maryland. I’m looking to hop into the small multi family space and was wondering what markets are better for cash flowing so I can get started on the basics. I was thinking Nashville or Orlando. I don’t have a ton of capital saved up yet but my job pays well enough and I have been putting money aside while I do my research and practice running my numbers. Any advice for getting started? Any class or courses you would recommend? Most importantly what markets would you say have great cash flow?

Columbus, Cincinnati, and Cleveland are great cash-flowing markets.

If you're already in Glen Burnie then you're 20 minutes away from plenty of cashflow submarkets. Brooklyn, Brooklyn Park, Dundalk, Essex, Northwood, Parkville...

These may not have a lot of multi-family opportunities, but single family cash flow listings abound. As others have pointed out SFHs are a great way to get started because of the favorable financing opportunities. Good luck!

@Sean Beksinski

Why would you invest out of state when MD has tons of opportunity?

Yes property values might be less expensive in Ohio but are you familiar with the area. Are you going to pay a PM? Are you going to fly to that state every time you need to do something.

I’m in Maryland and we have opportunity here. I would invest in your back yard to start.

Hi @Sean Beksinski I'm from Maryland myself and just bought my first multi-family in Ohio (just like everyone else in this thread!)

It's definitely daunting to invest out of state but with the market growing so rapidly in the midwest there are plenty of resources that work with out of state investors regularly. 

I would start chatting with people who have invested out of state and learn about that process to weigh the pros and cons VS investing in Maryland!

Originally posted by @Sean Beksinski :

Hey my names Sean and I’m a full time car salesman living out of Maryland. I’m looking to hop into the small multi family space and was wondering what markets are better for cash flowing so I can get started on the basics. I was thinking Nashville or Orlando. I don’t have a ton of capital saved up yet but my job pays well enough and I have been putting money aside while I do my research and practice running my numbers. Any advice for getting started? Any class or courses you would recommend? Most importantly what markets would you say have great cash flow?

 Saw folks talking about Cleveland as a potential market for you. If you're looking at Cleveland you'll want to read through The Ultimate Guide to Grading Cleveland Neighborhoods. Best of luck playa.

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