Connecting with local and out of state investors.
New to Real Estate · Member since 2025 · 49 posts · 20 votes
Connecting with local and out of state investors.
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Arman AhmedPro Member
Real Estate Agent · Columbus Cleveland Dayton, OH · Member since 2024 · 2k+ posts · 975 votesQuote from @Bismark Appau:
Hey everyone,
I’m currently digging into the Atlanta market to source off-market opportunities, specifically focusing on single family homes and multi family homes.
Before I start locking things up, I want to make sure I’m targeting the right areas and price points that local investors actually want right now. If you're active in the area, I'd love to hear what your 'buy box' looks like lately.
Are you still sticking to the 70% rule, or has that shifted with current interest rates? Also, are there specific zip codes you're avoiding?
I’m looking to connect with a few more locals to get a pulse on the market. Looking forward to your insights.
@Bismark Appau
Sounds like you’re really doing your homework before jumping in, which is smart. Atlanta can work, but if you’re open to out-of-state options, Midwest markets still offer strong cash flow on single-family and small multifamily deals at price points that actually pencil. The key is targeting stable neighborhoods, realistic rents, and having a trusted local team so you can move confidently even from afar.
15 Replies
- Lender · Playa del Carmen, México · Member since 2014 · 2k+ posts · 1k+ votes8mo
Quote from @Bismark Appau:
Hey everyone,
I’m currently digging into the Atlanta market to source off-market opportunities, specifically focusing on single family homes and multi family homes.
Before I start locking things up, I want to make sure I’m targeting the right areas and price points that local investors actually want right now. If you're active in the area, I'd love to hear what your 'buy box' looks like lately.
Are you still sticking to the 70% rule, or has that shifted with current interest rates? Also, are there specific zip codes you're avoiding?
I’m looking to connect with a few more locals to get a pulse on the market. Looking forward to your insights.
Hey @Bismark Appau, welcome to BiggerPockets!
We're based in Atlanta and have operated there for decades, both as an investor and a private lender.
I'd be happy to connect with you, just not here via DM.
My BP profile shows exactly how you can reach me.
- New to Real Estate · Member since 2025 · 49 posts · 20 votes8mo
Quote from @Mitch Messer:
Quote from @Bismark Appau:
Hey everyone,
I’m currently digging into the Atlanta market to source off-market opportunities, specifically focusing on single family homes and multi family homes.
Before I start locking things up, I want to make sure I’m targeting the right areas and price points that local investors actually want right now. If you're active in the area, I'd love to hear what your 'buy box' looks like lately.
Are you still sticking to the 70% rule, or has that shifted with current interest rates? Also, are there specific zip codes you're avoiding?
I’m looking to connect with a few more locals to get a pulse on the market. Looking forward to your insights.
Hey @Bismark Appau, welcome to BiggerPockets!
We're based in Atlanta and have operated there for decades, both as an investor and a private lender.
I'd be happy to connect with you, just not here via DM.
My BP profile shows exactly how you can reach me.
Thanks for the welcome, Mitch I appreciate you pointing me to your profile I will look up your contact info there and reach out directly. Looking forward to connecting.
- 8moG. Brian DavisPro MemberInvestor · Hatboro, PA · Member since 2016 · 3k+ posts · 905 votes
Hi @Bismark Appau, Most buyers right now are less focused on strictly following the 70 percent rule and more focused on strong cash flow and realistic ARVs. Some are willing to go closer to 75 percent in solid submarkets if the deal still makes sense at today’s rates.
Affordable South Atlanta areas are still seeing activity for single family, and small multifamily with strong rents and upside continues to attract interest.
- New to Real Estate · Member since 2025 · 49 posts · 20 votes8mo
Quote from @G. Brian Davis:
Hi @Bismark Appau, Most buyers right now are less focused on strictly following the 70 percent rule and more focused on strong cash flow and realistic ARVs. Some are willing to go closer to 75 percent in solid submarkets if the deal still makes sense at today’s rates.
Affordable South Atlanta areas are still seeing activity for single family, and small multifamily with strong rents and upside continues to attract interest.
Thanks for that insight, Brian. That makes sense regarding the shift in the 70% rule cash flow is definitely king right now. I'm actually focusing on those small multifamily opportunities with value-add potential. Do you have any pocket listings right now, or are you seeing most action through the MLS?
- 8moG. Brian DavisPro MemberInvestor · Hatboro, PA · Member since 2016 · 3k+ posts · 905 votesI do not. My partner is a Realtor, so we see a mix of activity and MLS flow. I personally analyze deals in multiple markets and write about real estate investing for several platforms, and through my co investing club we invest in opportunities across different states. So I have alot of knowledge in many different markets.
Quote from @Bismark Appau:
Quote from @G. Brian Davis:
Hi @Bismark Appau, Most buyers right now are less focused on strictly following the 70 percent rule and more focused on strong cash flow and realistic ARVs. Some are willing to go closer to 75 percent in solid submarkets if the deal still makes sense at today’s rates.
Affordable South Atlanta areas are still seeing activity for single family, and small multifamily with strong rents and upside continues to attract interest.
Thanks for that insight, Brian. That makes sense regarding the shift in the 70% rule cash flow is definitely king right now. I'm actually focusing on those small multifamily opportunities with value-add potential. Do you have any pocket listings right now, or are you seeing most action through the MLS?
- New to Real Estate · Member since 2025 · 49 posts · 20 votes8mo
Quote from @G. Brian Davis:
I do not. My partner is a Realtor, so we see a mix of activity and MLS flow. I personally analyze deals in multiple markets and write about real estate investing for several platforms, and through my co investing club we invest in opportunities across different states. So I have alot of knowledge in many different markets.Quote from @Bismark Appau:
Quote from @G. Brian Davis:
Hi @Bismark Appau, Most buyers right now are less focused on strictly following the 70 percent rule and more focused on strong cash flow and realistic ARVs. Some are willing to go closer to 75 percent in solid submarkets if the deal still makes sense at today’s rates.
Affordable South Atlanta areas are still seeing activity for single family, and small multifamily with strong rents and upside continues to attract interest.
Thanks for that insight, Brian. That makes sense regarding the shift in the 70% rule cash flow is definitely king right now. I'm actually focusing on those small multifamily opportunities with value-add potential. Do you have any pocket listings right now, or are you seeing most action through the MLS?
Hi Brian,
Thanks for the insight. I'm a virtual wholesaler focused on finding off-market opportunities in Atlanta that don't hit the MLS.
Since you have the capital and the local team, I'd love to add you to my list. I strictly focus on deep-fixer uppers and small multi-family with enough meat on the bone to handle today's rates.
- 8moEric FernwoodBusiness MemberRealtor · Las Vegas, NV · Member since 2014 · 1k+ posts · 1k+ votes
Hello @Bismark Appau,
Flipping can be profitable, but it can also result in significant losses. Success depends on four factors:
- You sell at your expected price.
- You sell within your expected time.
- Renovation stays on budget and on schedule.
To calculate the maximum price you can pay for the property…
Start With the Sale Price, Then Work Backward
You don't control the sale price—competition does. So, estimate:
- Realistic after-repair value (ARV)
- Time to renovate
- Time to sell
- Cost to sell
Be conservative. Optimism results in financial losses.
Subtract Every Cost
You must deduct all expenses from the sale price to determine the maximum offer price, including:
- Renovation
- Project management
- Closing costs
- Holding costs (taxes, insurance, utilities, HOA)
- Selling costs (commissions, fees)
- Profit (this is not optional)
- A surprise cost buffer
- A time buffer for unexpected delays
If you miss something, you will lose a lot of money. An example will illustrate the process.
Suppose you are considering a property for flipping. I will assume the following for this example. Sale price: $200,000.
Below are the costs and times.
Description Costs Time (Mo) Cost to sell 12000 Time to sell 4 Renovation 50000 3 Project Management 5000 Profit 20000 Cost pad 5000 Time pad 1 Closing costs 2000 Carrying costs ? Total 94000 8 Notes:
- Cost to sell: 6% x sale price = 6% x $200,000 = $12,000
- Time to sell: I assumed 3 months for the property to have an accepted offer plus one month to close and get paid. So, 4 months.
- Renovation: Working with a renovation company, you're confident the renovation will cost less than $50,000 and take less than 3 months. No guessing, work with renovation experts.
- Project Management: Unless you have significant construction and renovation experience, save yourself a lot of money and hire an expert.
- Profit: Profit is a cost you must account for. I assumed 10% of the sale price: $200,000 × 10% = $20,000.
- Cost pad: We’ve completed over 600 renovations and there are always surprises. I budgeted $5,000.
- Time pad: Nothing goes to plan so add time for delays and such. I added one month.
- Closing costs: I assumed a cash purchase for simplicity, so I didn't need to include debt service in holding costs. $2,000 is a reasonable closing cost for a cash purchase.
Below are the basic monthly expenses.
Monthly holding costs:
- Taxes: $11
- Insurance: $67
- Utilities: $200
- HOA: $25
- Total: $409 per month
Total hold time (renovation + sale + buffer): 8 months
Holding cost:
8 × $409 ≈ $3,272
Total costs, including hold time: $97,272
Maximum purchase price:
$200,000 − $97,272 = $102,728
If you pay more than $102,728, you will likely lose a lot of money.
Bismark, the “70% rule” is just a shortcut. Real projects do not follow rules of thumb. Work backward from a realistic sale price, subtract every cost, and be conservative. That’s how you avoid large losses.
FERNWOOD Team, KW VIP Realty520 Reviews- New to Real Estate · Member since 2025 · 49 posts · 20 votes8moHello Eric,
Quote from @Eric Fernwood:
Hello @Bismark Appau,
Flipping can be profitable, but it can also result in significant losses. Success depends on four factors:
- You sell at your expected price.
- You sell within your expected time.
- Renovation stays on budget and on schedule.
To calculate the maximum price you can pay for the property…
Start With the Sale Price, Then Work Backward
You don't control the sale price—competition does. So, estimate:
- Realistic after-repair value (ARV)
- Time to renovate
- Time to sell
- Cost to sell
Be conservative. Optimism results in financial losses.
Subtract Every Cost
You must deduct all expenses from the sale price to determine the maximum offer price, including:
- Renovation
- Project management
- Closing costs
- Holding costs (taxes, insurance, utilities, HOA)
- Selling costs (commissions, fees)
- Profit (this is not optional)
- A surprise cost buffer
- A time buffer for unexpected delays
If you miss something, you will lose a lot of money. An example will illustrate the process.
Suppose you are considering a property for flipping. I will assume the following for this example. Sale price: $200,000.
Below are the costs and times.
Description Costs Time (Mo) Cost to sell 12000 Time to sell 4 Renovation 50000 3 Project Management 5000 Profit 20000 Cost pad 5000 Time pad 1 Closing costs 2000 Carrying costs ? Total 94000 8 Notes:
- Cost to sell: 6% x sale price = 6% x $200,000 = $12,000
- Time to sell: I assumed 3 months for the property to have an accepted offer plus one month to close and get paid. So, 4 months.
- Renovation: Working with a renovation company, you're confident the renovation will cost less than $50,000 and take less than 3 months. No guessing, work with renovation experts.
- Project Management: Unless you have significant construction and renovation experience, save yourself a lot of money and hire an expert.
- Profit: Profit is a cost you must account for. I assumed 10% of the sale price: $200,000 × 10% = $20,000.
- Cost pad: We’ve completed over 600 renovations and there are always surprises. I budgeted $5,000.
- Time pad: Nothing goes to plan so add time for delays and such. I added one month.
- Closing costs: I assumed a cash purchase for simplicity, so I didn't need to include debt service in holding costs. $2,000 is a reasonable closing cost for a cash purchase.
Below are the basic monthly expenses.
Monthly holding costs:
- Taxes: $11
- Insurance: $67
- Utilities: $200
- HOA: $25
- Total: $409 per month
Total hold time (renovation + sale + buffer): 8 months
Holding cost:
8 × $409 ≈ $3,272
Total costs, including hold time: $97,272
Maximum purchase price:
$200,000 − $97,272 = $102,728
If you pay more than $102,728, you will likely lose a lot of money.
Bismark, the “70% rule” is just a shortcut. Real projects do not follow rules of thumb. Work backward from a realistic sale price, subtract every cost, and be conservative. That’s how you avoid large losses.
Thank you for sending over this detailed breakdown. You are absolutely right relying on "rules of thumb" like the 70% rule is a quick way to get burned in this market.
Your approach of working backward from a conservative After-Repair Value (ARV) and factoring in dedicated time and cost pads is the professional standard. I particularly like how you treated Profit as a line-item expense rather than just a residual amount left over at the end.
This formula ensures that the deal is viable on paper before a single dollar is spent on renovations.
Bismarck Oduro.
- 8moArman AhmedPro MemberReal Estate Agent · Columbus Cleveland Dayton, OH · Member since 2024 · 2k+ posts · 975 votes
Quote from @Bismark Appau:
Hey everyone,
I’m currently digging into the Atlanta market to source off-market opportunities, specifically focusing on single family homes and multi family homes.
Before I start locking things up, I want to make sure I’m targeting the right areas and price points that local investors actually want right now. If you're active in the area, I'd love to hear what your 'buy box' looks like lately.
Are you still sticking to the 70% rule, or has that shifted with current interest rates? Also, are there specific zip codes you're avoiding?
I’m looking to connect with a few more locals to get a pulse on the market. Looking forward to your insights.
@Bismark Appau
Sounds like you’re really doing your homework before jumping in, which is smart. Atlanta can work, but if you’re open to out-of-state options, Midwest markets still offer strong cash flow on single-family and small multifamily deals at price points that actually pencil. The key is targeting stable neighborhoods, realistic rents, and having a trusted local team so you can move confidently even from afar. Atlanta's a solid market. Bismark, you're asking the right questions. The 70% rule is a starting framework, but it really depends on your specific exit strategy and holding costs. If you're flipping, 70% works. If you're buying to hold and rent, the math shifts -- you're looking at cash-on-cash return and long-term appreciation instead.
Eric's breakdown is spot-on about renovation costs and carrying costs. But here's what I'd add: Atlanta's market has tight supply in certain zips right now. Paces, Vinings, some of the north Atlanta corridors are still solid. Southeast Atlanta has deals but slower rental demand. East Atlanta's changing fast. The neighborhoods matter more than the overall city rule.
If you're sourcing off-market, connect with wholesalers who know those neighborhoods cold. They'll know which zips have predictable rents and which are still soft on demand. And yeah, zip codes matter -- you can have a property that "pencils" on paper but moves slow because the tenant market isn't there.
Are you looking at long-term holds or flips? That changes your buy box completely.
- Property Manager · Atlanta, GA · Member since 2025 · 44 posts · 22 votes8mo
I’m on the property management side here in Atlanta and work with a mix of local and out‑of‑state investors, so I see what’s actually performing vs. just penciling on paper. A lot of my clients have moved away from a rigid 70% rule and are underwriting more on realistic rent, maintenance, and vacancy assumptions by submarket and asset condition. Buy boxes right now tend to be solid working and middle‑class neighborhoods with stable rent demand, decent school nodes, and lower cap‑ex surprises rather than pure “cheap per door.” Happy to compare notes on what I’m seeing in terms of zip codes investors are leaning into vs. avoiding and what’s actually leasing well today.
- New to Real Estate · Member since 2025 · 49 posts · 20 votes8mo
Quote from @Mike Grinnell:
I’m on the property management side here in Atlanta and work with a mix of local and out‑of‑state investors, so I see what’s actually performing vs. just penciling on paper. A lot of my clients have moved away from a rigid 70% rule and are underwriting more on realistic rent, maintenance, and vacancy assumptions by submarket and asset condition. Buy boxes right now tend to be solid working and middle‑class neighborhoods with stable rent demand, decent school nodes, and lower cap‑ex surprises rather than pure “cheap per door.” Happy to compare notes on what I’m seeing in terms of zip codes investors are leaning into vs. avoiding and what’s actually leasing well today.
Hey Mike,
I appreciate your insight on Atlanta especially the shift away from the strict 70% rule and focusing more on realistic numbers by submarket. Since you’re seeing what’s actually performing day-to-day, I’d love to connect and hear which zip codes are leasing the strongest right now. Always great to compare notes with someone in the market.
- Property Manager · Atlanta, GA · Member since 2025 · 44 posts · 22 votes8mo
Really appreciate that, and happy to compare notes. On my side, I’m looking closely at which zip codes are giving investors the best balance of rent demand, days on market, and realistic maintenance over the first 12–24 months. There are definitely a few pockets that look great on paper but are much tougher in day‑to‑day management, and others that are quietly performing very well for both local and out‑of‑state owners. Let’s definitely connect offline/DM, and I can share what I’m seeing in terms of zip codes, rent ranges, and property profiles that are working best right now.
- New to Real Estate · Member since 2025 · 49 posts · 20 votes8moAppreciate that insight. I’ve been noticing the same thing—some areas look great on paper but are much different once you factor in leasing speed, maintenance, and day-to-day management. I’d definitely be interested in hearing which zip codes and property types are performing best right now. Just sent you a DM so we talk more.
Quote from @Mike Grinnell:
Really appreciate that, and happy to compare notes. On my side, I’m looking closely at which zip codes are giving investors the best balance of rent demand, days on market, and realistic maintenance over the first 12–24 months. There are definitely a few pockets that look great on paper but are much tougher in day‑to‑day management, and others that are quietly performing very well for both local and out‑of‑state owners. Let’s definitely connect offline/DM, and I can share what I’m seeing in terms of zip codes, rent ranges, and property profiles that are working best right now.
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