College grad leaving FL for cash flow and growth, where?

Question

I am graduating next year with a major in real estate from Orlando FL.  The prices/taxes/insurance are prohibitive to cash flow here, so I am currently researching markets outside of Florida. I am looking for decent cash flow with the possibility of slightly above average appreciation in the long run of say 15 years.

I read a lot of articles of "best retirement locations" etc and think to myself how could I profit from these locations, as most of them are small towns.  I am trying to find a niche for myself and I can see providing affordable housing to retirees being a part of it.  The demographics of this population shift is going to be quite interesting to say the least.

I have read MikeOH say anywhere in flyover country is good for cash flow.  I know that no one has a crystal ball but where do you guys see good cash flow now and steady economic growth over the long term.

All opinions appreciated.   -Ben

Michael Rossi · Answer

Eric is right.  Markets go up and down.  Make a list of places you would like to live and then look at the real estate market there.

Good Luck,

Mike

N/A N/A · Answer

Any ideas on how to capitalize on afforable housing for seniors.  Are there any ways to ONLY rent to seniors, or does that go against the fair housing act.  Maybe there are government programs.  I like the idea of renting to seniors because they wont tear the place up and the low turnover.

Account Closed · Answer

Oklahoma City is really taking off.  In the early 90's, with a dying urban core, the city took drastic action with citizens voting in favor of a sales tax increase for a program called MAPS(metropolitan area projects).  This program injected $300 million into downtown area projects(see link for more info).  A study has shown that these projects have attracted an addition ~1bil of private investment into downtown.  After the completion of these projects in 2004, citizens voted to extend the duration of the tax to inject $700 million into the troubled Oklahoma City school system for renovations, new construction, etc(ongoing, see link).  Currently, a plan for Maps 3 is being laid out that, if approved, could provide for such things as light rail, a new convention center, etc.

The crosstown elevated highway is also being torn down and moved south,  and a street-level boulevard built in it's place.  This, along with the recent damming of the river(ensuring it doesn't dry out), has generated development interest in the previously undesireable swath of land between downtown and the river.  The city has big plans for this(see link "core to shore")

All of this, and it looks like we're about to land our first pro team.  The NBA's (formerly) Seattle Supersonics.

As in much of the midwest, properties and cheap and cash flow is prevalent.  On top of that, this town is just starting to reach critical mass, in my opinion.

Anyone who is interested, check out the links...

About Maps: http://www.maps3.org/maps.html

Maps for kids(maps 2): http://www.okc.gov/OCMAPS/index.html

Core to shore: http://www.okc.gov/Planning/coretoshore/

Skyline snapshot - status of current and proposed okc developments: http://www.downtownokc.com/Default.aspx?tabid=196

Timothy W. · Answer

Ben,
Just out of curiousity - why look so far away?  I'm seeing sfr's in lakeland, fl listed at 25-45k.  That's not far from where you are now.  What are rents there?  Would these cashflow?

Eric Foster · Answer

Go where you think you would want to live… If you cant make that decision…

...Use a dartboard…

Getting through 2008 & 2009 will answer the question of where is a good place to go for cash flow and growth...

Just my 2 cents...

Paul Cordero · Answer

Salt Lake CityUT, San AntonioTX

N/A N/A · Answer

hmm interesting, that is a lot of jobs.

Any thoughts on the Tennessee, North Georgia, SC NC area?

Brandon Schlichter · Answer

Ohio isn't too bad, I know quite a few investors in this area that do very well. Cost of living is pretty low too ,and from my last search, we're doing better this year than last, as a market whole.

Brandon Schlichter · Answer

I expect things to change...In my county alone , there's a development project that's expected to bring 200k-300k jobs. The development has already brought 50k so far. The population within 40mi of the development zone is only about 1.4 million , and with a 4.5% unemlpoyment rate overall for this population.....The picture isn't too bad :)

N/A N/A · Answer

I have considered Ohio, but the population outflow does not paint a pretty long term growth picture.  I should tell you that I would prefer to stay in the south if possible but will move anywhere if an area looks good.