Buy and Hold in AL, FL, GA and SC

Buy and Hold in AL, FL, GA and SC

Real Estate Agent · Port Huron, MI · Member since 2012 · 295 posts · 82 votes

Hello! In January I am visiting

Mobile, AL / Pensacola, FL / Tallahassee, FL / Jacksonville, FL / Savannah, GA / Charleston, SC

I am doing my own due diligence on these markets for buy and hold rentals but am hoping to get a crash course from some locals before I go boots on the ground. 

I know returns in these areas are going to be much less then what I am getting in Michigan but can they crack a 1.5% in a decent neighborhood if I buy the worse house on a good block? Any recommendations on neighborhoods I should stick too since my time is somewhat limited? Any rental restrictions (long or short term)? How are you getting deals (hopefully a decent wholesaling network)? Any other considerations I should be aware of?

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Member since 2020 · 5 posts · 5 votes
5y

I am a newbie from Pensacola, Florida looking to purchase single-family and small multi-family properties. I currently do not have any properties of my own, but I can give you a little info. on the Pensacola, Florida area. Currently the Pensacola Bay Bridge is down, so if you are looking for property in Gulf Breeze, Florida you might want to wait until renovations are complete. The local news journal stated that the renovations should be complete by April 2021, but who knows if that is actually going to happen. The area codes 32506 and 32507 are generally the nicer areas, they are more towards the Perdido Key area. The school districts in this area FOR THE MOST PART are better than the others in the Pensacola area. If I were you I would stay away from ANYTHING and EVERYTHING in the Montclair district. That area is one of the more dangerous areas in the city. I would also stay away from anything in the Warrington Middle School of Elementary School area. 9 mile road is an up and coming area. A big Navy Federal branch is out there and they are constantly hiring. If you are not dead set on investing in Pensacola; Pace, Florida, and Milton, Florida might be worth checking out. I personally know a few people who live in those areas and travel to Pensacola for work. Pensacola is kind of a weird area because there can be super nice neighborhoods in not so nice areas. If you have any other questions feel free to reach out! 

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  • Member since 2020 · 5 posts · 5 votes
    5y

    I am a newbie from Pensacola, Florida looking to purchase single-family and small multi-family properties. I currently do not have any properties of my own, but I can give you a little info. on the Pensacola, Florida area. Currently the Pensacola Bay Bridge is down, so if you are looking for property in Gulf Breeze, Florida you might want to wait until renovations are complete. The local news journal stated that the renovations should be complete by April 2021, but who knows if that is actually going to happen. The area codes 32506 and 32507 are generally the nicer areas, they are more towards the Perdido Key area. The school districts in this area FOR THE MOST PART are better than the others in the Pensacola area. If I were you I would stay away from ANYTHING and EVERYTHING in the Montclair district. That area is one of the more dangerous areas in the city. I would also stay away from anything in the Warrington Middle School of Elementary School area. 9 mile road is an up and coming area. A big Navy Federal branch is out there and they are constantly hiring. If you are not dead set on investing in Pensacola; Pace, Florida, and Milton, Florida might be worth checking out. I personally know a few people who live in those areas and travel to Pensacola for work. Pensacola is kind of a weird area because there can be super nice neighborhoods in not so nice areas. If you have any other questions feel free to reach out! 

  • Rental Property Investor · Pensacola, FL · Member since 2020 · 9 posts · 9 votes
    5y
    Originally posted by @Aaliyah Walton:

    I am a newbie from Pensacola, Florida looking to purchase single-family and small multi-family properties. I currently do not have any properties of my own, but I can give you a little info. on the Pensacola, Florida area. Currently the Pensacola Bay Bridge is down, so if you are looking for property in Gulf Breeze, Florida you might want to wait until renovations are complete. The local news journal stated that the renovations should be complete by April 2021, but who knows if that is actually going to happen. The area codes 32506 and 32507 are generally the nicer areas, they are more towards the Perdido Key area. The school districts in this area FOR THE MOST PART are better than the others in the Pensacola area. If I were you I would stay away from ANYTHING and EVERYTHING in the Montclair district. That area is one of the more dangerous areas in the city. I would also stay away from anything in the Warrington Middle School of Elementary School area. 9 mile road is an up and coming area. A big Navy Federal branch is out there and they are constantly hiring. If you are not dead set on investing in Pensacola; Pace, Florida, and Milton, Florida might be worth checking out. I personally know a few people who live in those areas and travel to Pensacola for work. Pensacola is kind of a weird area because there can be super nice neighborhoods in not so nice areas. If you have any other questions feel free to reach out! 

    I agree, Pensacola can be "street by street" in some areas.

    Some of the fancy/popular areas are downtown, Northhill, and Easthill. Other decent areas are Scenic Heights, Cordova, Northpointe, Marcus Point. Those are mostly on the east side of Pensacola.

    Demand is high right now for housing in the area.

  • Real Estate Agent · Port Huron, MI · Member since 2012 · 295 posts · 82 votes
    5y

    Thank you both for the information. I did mention those cities but I am open to anything within an hour of them if the opportunity is there so thank you for the additional cities to look into. Actually I am open to opportunities anywhere that it is warm I just won't be able to see it in January :D. 

  • Investor · Tallahassee, FL · Member since 2013 · 77 posts · 24 votes
    5y

    @Moe Garrison

    Do u have any properties in Tallahassee for sale?

  • Investor · Tallahassee, FL · Member since 2014 · 246 posts · 89 votes
    5y

    I work in both Tallahassee and Pensacola.  The market seems to be pretty hot. I would be looking for off market properties that need work.  I'm sure a local experienced realtor or investor here can help you out. 

  • Rental Property Investor · Boston, MA · Member since 2020 · 10 posts · 6 votes
    5y

    @Moe Garrison thinking to a vacation home + renting while I am absent at st. Augustine or around, any suggestions?

  • Real Estate Agent · Virginia Beach, VA · Member since 2020 · 41 posts · 7 votes
    5y

    @Bill Turner What type of properties are you looking to invest in? Do send me a private message with your answer. Thank you!

  • Rental Property Investor · Charleston, SC · Member since 2016 · 61 posts · 9 votes
    5y

    @Richard Ball if your still interested let's get on a call and I'm happy to share what information I have on the local market in Charleston

  • Real Estate Agent · Port Huron, MI · Member since 2012 · 295 posts · 82 votes
    5y

    Hey Ian! Absolutely, I'll send you a PM. I think toward the end of next week would work for a call as I plan to be near Savannah/Charleston by the end of January. Right now I am looking at Mobile/Pensacola. Next week it will be Tallahassee and then Jacksonville/St. Augustine before I head North.

  • Real Estate Investor · Tallahassee, FL · Member since 2012 · 105 posts · 19 votes
    5y

    In Tallahassee, stay out of Frenchtown and Southside (Leon Arms, Saxon St, College Terrace).

    Where in Michigan do you invest?

  • Real Estate Agent · Atlanta, GA · Member since 2014 · 52 posts · 16 votes
    5y

    What’s wrong with Frenchtown? 

  • Real Estate Investor · Tallahassee, FL · Member since 2012 · 105 posts · 19 votes
    5y
    Originally posted by @Lowell "Champ" Crawford:

    What’s wrong with Frenchtown? 

    Are you familiar with Tally? 

  • Real Estate Agent · Port Huron, MI · Member since 2012 · 295 posts · 82 votes
    5y

    Hello @Yuriy Tymoshenko

    Thank you! Prefect timing as I will be heading to Tallahassee next week! I invest in St. Clair County, mostly around the Port Huron area.

  • Rental Property Investor · San Diego, CA · Member since 2014 · 1k+ posts · 2k+ votes
    5y

    Hi @Richard Ball

    I have over 230 units and growing.  We are moving into the Michigan area soon too as another market.  At the moment we are focused on NE Ohio, Wisconsin, St. Louis, and Michigan area for further Multifamily apartment complexes.

    Feel free to reach out to me.  I was on Podcast 238.


    Swanny

  • Flipper/Rehabber · Tallahassee, FL · Member since 2014 · 463 posts · 237 votes
    5y

    @Richard Ball I’m in Tallahassee too, would love to meet up and show you what we’re working on right now. I’ve got a couple that I’m fixing up to sell and a couple that I’m fixing up to rent out.

  • Investor · Tallahassee, FL · Member since 2020 · 13 posts · 2 votes
    5y

    Oh, what a great thread! Anyone feel free to connect. I do buy in the Tallahassee and the Panhandle. 

  • Flipper/Rehabber · Tallahassee, FL · Member since 2014 · 463 posts · 237 votes
    5y

    @Yuriy Tymoshenko I’ve got a few rentals in old French town but that’s me. I’d probably stay away from south Monroe, Pershing ave that area, lots of gang activity. Saxon and that area and Hillsborough and McCaskill. I’m only saying these streets specifically because I’ve lost money on houses on these streets or I’ve had to keep it longer because buyers wanted to stay away from these streets. I’d be a bit gun shy about pulling the trigger again.

  • Real Estate Agent · Virginia Beach, VA · Member since 2020 · 41 posts · 7 votes
    5y

    Are there investors here, who are interested in investing in Condos in the Tallahassee area? If yes, what are your formula and your price range?

  • Rental Property Investor · Marianna Florida · Member since 2011 · 357 posts · 169 votes
    5y
    I moved up to the Pensacola area last October (actually Milton) from the Tampa Bay area and am amazed by the lack of inventory in this area. Most houses I offer on for my clients have multiple offers, and the list price is often just a starting price. If you want to invest up here I can offer these tips...

    1. Have your money ready to go - verifiable proof of funds letters and be really able to close in two weeks
    2. Be able to estimate rehab costs when you look at the property because offers with inspection contingencies waived have  a better chance of getting accepted - yes you read that correctly... be ok with waiving inspection contingencies.
    3. Make the contract non-assignable.

    The good news is that if you do a good rehab job and price your property correctly, you should be able to sell it quickly. Bidding wars are driving up prices and comps, so your property might sell for more than you thought it would once it hits the market.

    Hope this helps


  • Member since 2019 · 68 posts · 8 votes
    5y

    @Jeff Morelock inventory is generally low everywhere. Did you mean in Pensacola extra low now? Is that because more demand there from new people coming in? Why Pensacola then? 

  • Rental Property Investor · Marianna Florida · Member since 2011 · 357 posts · 169 votes
    5y
    Originally posted by @Imran Ahmed:

    @Jeff Morelock inventory is generally low everywhere. Did you mean in Pensacola extra low now? Is that because more demand there from new people coming in? Why Pensacola then? 

    I read somewhere recently that approximately 1000 people per day move to Florida. I am seeing a lot of buyers moving here from Texas and California. Maybe the people from Texas don't want too far from Texas don't want to be too far from Texas so they stop in the Pensacola area. There are also several military bases in the area so the rental market is good too.

  • Member since 2019 · 68 posts · 8 votes
    5y
    Originally posted by @Jeff Morelock:
    Originally posted by @Imran Ahmed:

    @Jeff Morelock inventory is generally low everywhere. Did you mean in Pensacola extra low now? Is that because more demand there from new people coming in? Why Pensacola then? 

    I read somewhere recently that approximately 1000 people per day move to Florida. I am seeing a lot of buyers moving here from Texas and California. Maybe the people from Texas don't want too far from Texas don't want to be too far from Texas so they stop in the Pensacola area. There are also several military bases in the area so the rental market is good too.

     good to know. If asking price is just starting then how the appraisals are coming and closing rates are just curious? Because I recently put one in contract in Palm Coast where appraisal came 10K below the contracted price, good that seller agreed to meet in the middle

  • Rental Property Investor · Marianna Florida · Member since 2011 · 357 posts · 169 votes
    5y

    It pretty much comes down to buyers having to come up with cash if the appraisals, or sellers coming down on there price like yours did. This does not happen as much as it used to be cause sellers have three or four back up offers they can go to if needed. 

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