Vacancy rate in Cleveland

[Leonard Davis]

Hi All!

I have owned duplexes in the greater Cleveland area since 2014 (mainly in Old Brooklyn, Shaker and Garfield Heights) and I have really been hurt by the fact that the vacancy rate has been ~35% on average (I am including the months where tenants would live in the property without paying). My properties are well maintained and I wonder if the challenge that is due to the areas where my duplexes are located. Questions for the BP community:

1/ How are your duplexes performing from a vacancy rate standpoint?

2/ What are the cities that have the lowest vacancy rates in the greater Cleveland area? My next investment will probably be in Strongsville or Solon in order to have much more stable tenants.

Would love to get your thoughts on this one!

Thank you!

[James Wise]

Originally posted by @Leonard Davis:

Hi All!

I have owned duplexes in the greater Cleveland area since 2014 (mainly in Old Brooklyn, Shaker and Garfield Heights) and I have really been hurt by the fact that the vacancy rate has been ~35% on average (I am including the months where tenants would live in the property without paying). My properties are well maintained and I wonder if the challenge that is due to the areas where my duplexes are located. Questions for the BP community:

1/ How are your duplexes performing from a vacancy rate standpoint?

2/ What are the cities that have the lowest vacancy rates in the greater Cleveland area? My next investment will probably be in Strongsville or Solon in order to have much more stable tenants.

Would love to get your thoughts on this one!

Thank you!

 Typically speaking a duplex unit should rent within 30 days of its rent ready renovation. Garfield & Old Brooklyn are C-class areas. Parts of Shaker are similar with other parts of Shaker being high end A-class areas. Fairly obvious to tell which part of Shaker it is based on purchase price and type of housing stock. The larger community of Doctors & Lawyers living in Shaker aren't living in duplexes. They are living in large estates. 

Vacancy issues will drop as you enter higher end neighborhoods. Solon is an A-class neighborhood so going out that way will greatly reduce your issues. For more info on Cleveland neighborhoods and the grading scale I am referencing check out The Ultimate Guide to Grading Cleveland Neighborhoods.