I’m looking to get into MF real estate investing (duplex or more units) and Midwest seems to be more within my budget. It feels like a good starting point for cashflow to purchase more rental properties in the future (SF or MF).
What are the key details to look out for?
I’ve looked into crime rates, poverty rates, and median income, but is there anything else I need to watch for when honing in on cities/neighborhoods?
I’d really appreciate any tips or advice!
Net migration, employment growth, and economic/industrial diversity are very important as well. We want to invest in markets where the future demand for real estate is likely to be higher than today, and those are all key drivers of demand for rentals.
The economic/industry diversity bit is because you don't want one major employer or one single industry driving the whole economy of the market. If, for example, the only way to make money in an area is to work in oil drilling, the jobs will tend to dry up when the price of oil falls.
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