New Investor looking to invest in Ohio
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Real Estate Broker · Cleveland Dayton Cincinnati Toledo Columbus & Akron, OH · Member since 2013 · 31k+ posts · 20k+ votes
3yQuote from @Bagus A.:
Hi all I am a rookie investor, almost finish my rookie boot camp with BP.
I live in a suburb DC area in Maryland, and look to invest outside my area. My criteria are up to $70K and mainly focus on cash flow, then do BRRRR. Ohio is one of the prospective areas, I did some research for Cleveland. Are there any other potential cities besides Cleveland?
I m thinking to visit the prospective cities. I look forward to learning suggestions.
I also look to connect with a mentor, realtor, prop manager in the area.
Outside of Cleveland you'll probably want to look at Toledo, Akron, Canton, Youngstown, Cincinnati & Columbus.
13 Replies
- 3yJoshua JanusBusiness MemberRealtor · Cleveland, OH · Member since 2021 · 1k+ posts · 1k+ votes
Quote from @Bagus A.:
Hi all I am a rookie investor, almost finish my rookie boot camp with BP.
I live in a suburb DC area in Maryland, and look to invest outside my area. My criteria are up to $70K and mainly focus on cash flow, then do BRRRR. Ohio is one of the prospective areas, I did some research for Cleveland. Are there any other potential cities besides Cleveland?
I m thinking to visit the prospective cities. I look forward to learning suggestions.
I also look to connect with a mentor, realtor, prop manager in the area.Cleveland, Ohio is a great market to focus on for cash flow and specific pockets have gone up 2x and upwards of 4x in the last 5-10 years even!
Examples:
44109 (median home price went from roughly 50k to 125k in 8 years)
https://www.zillow.com/home-values/77009/cleveland-oh-44109/
44102 (median home price went from roughly 30k to 120k in 8 years)
https://www.zillow.com/home-values/77002/cleveland-oh-44102/
44106 (median home price went from roughly 100k to 200k in 8 years)
https://www.zillow.com/home-values/77006/cleveland-oh-44106/
It has the highest rents on average in all of Ohio for major cities and the median income is not even in the top 3. That creates a really nice price / rent ratio which is favorable for investors looking for cash flow. The median home price is also very low nationwide which creates a low barrier to entry. You can get solid cash-flowing single families in the 90-120k price range and duplexes in the 130-180k price range. There are cheaper one’s in D/F areas but I would be careful as those can create a laundry list of additional issues. In 2022 the rents increased 12.1% year over year which was the 3rd highest in the entire country per https://www.axios.com/local/cleveland/2023/02/14/cleveland-rent-prices.
Here are pockets I focus on for cash flow:
West side - West boulevard, Cudell, Clark-Fulton, Jefferson, Bellaire-Puritas, Old Brooklyn
East side - Fairfax, Buckeye-Shaker (the north side), Waterloo Arts District, Garfield Heights, Maple Heights, Newburgh Heights, Lee-Miles (the north side), Bedford
Here are the areas that I focus on for appreciation:
West side - Lakewood, Edgewater, Old Brooklyn, Ohio City, Tremont (above 490)
East side - Buckeye-Shaker (the north side), Waterloo Arts District, Fairfax
*I have a graded neighborhood map of these areas as well if you would like to check it out.
- 3yBrittany MinocchiBusiness MemberLender · Massillon, OH · Member since 2022 · 1k+ posts · 486 votes
Hey @Bagus A.!
Ohio is a great place to invest in general, and Cleveland is a popular market. I would also suggest checking out Akron and Canton (I personally invest in Canton and favor cash flow) -- you should have decent luck finding properties in all three areas at your price point.
From a lending standpoint, be aware that if you plan to refinance with a DSCR loan once rehab is complete, most lenders have a minimum loan amount of $75-$100k and want to see somewhere around 20-30% down depending on the scenario.
Brittany Minocchi - Barrett Financial Group, LLC520 Reviews - 3yJimmy LieuBusiness MemberReal Estate Agent · Columbus, OH · Member since 2019 · 3k+ posts · 2k+ votes
Quote from @Bagus A.:
Hi all I am a rookie investor, almost finish my rookie boot camp with BP.
I live in a suburb DC area in Maryland, and look to invest outside my area. My criteria are up to $70K and mainly focus on cash flow, then do BRRRR. Ohio is one of the prospective areas, I did some research for Cleveland. Are there any other potential cities besides Cleveland?
I m thinking to visit the prospective cities. I look forward to learning suggestions.
I also look to connect with a mentor, realtor, prop manager in the area.Hi Bagus, I personally love Columbus Ohio and as someone who works with a lot of out of state investors - there's so many catalysts for why you should invest here. Specifically, there's job growth (Intel, Honda, Amazon, Nationwide, etc) and the population is growing (unlike Cleveland or Cincy). I really see Columbus Ohio as an extremely safe bet for the next 10-20 years. Plus, there's still so many positive cash flowing and 1% deals here in Columbus Ohio. As a local investor and agent here in Columbus, let me know if you have any questions or want to connect!
Jimmy Lieu, Red 1 Realty4.9122 Reviews - Real Estate Broker · Cleveland Dayton Cincinnati Toledo Columbus & Akron, OH · Member since 2013 · 31k+ posts · 20k+ votes3y
Quote from @Bagus A.:
Hi all I am a rookie investor, almost finish my rookie boot camp with BP.
I live in a suburb DC area in Maryland, and look to invest outside my area. My criteria are up to $70K and mainly focus on cash flow, then do BRRRR. Ohio is one of the prospective areas, I did some research for Cleveland. Are there any other potential cities besides Cleveland?
I m thinking to visit the prospective cities. I look forward to learning suggestions.
I also look to connect with a mentor, realtor, prop manager in the area.Outside of Cleveland you'll probably want to look at Toledo, Akron, Canton, Youngstown, Cincinnati & Columbus.
Quote from @Joshua Janus:
Quote from @Bagus A.:
Hi all I am a rookie investor, almost finish my rookie boot camp with BP.
I live in a suburb DC area in Maryland, and look to invest outside my area. My criteria are up to $70K and mainly focus on cash flow, then do BRRRR. Ohio is one of the prospective areas, I did some research for Cleveland. Are there any other potential cities besides Cleveland?
I m thinking to visit the prospective cities. I look forward to learning suggestions.
I also look to connect with a mentor, realtor, prop manager in the area.Cleveland, Ohio is a great market to focus on for cash flow and specific pockets have gone up 2x and upwards of 4x in the last 5-10 years even!
Examples:
44109 (median home price went from roughly 50k to 125k in 8 years)
https://www.zillow.com/home-values/77009/cleveland-oh-44109/
44102 (median home price went from roughly 30k to 120k in 8 years)
https://www.zillow.com/home-values/77002/cleveland-oh-44102/
44106 (median home price went from roughly 100k to 200k in 8 years)
https://www.zillow.com/home-values/77006/cleveland-oh-44106/
It has the highest rents on average in all of Ohio for major cities and the median income is not even in the top 3. That creates a really nice price / rent ratio which is favorable for investors looking for cash flow. The median home price is also very low nationwide which creates a low barrier to entry. You can get solid cash-flowing single families in the 90-120k price range and duplexes in the 130-180k price range. There are cheaper one’s in D/F areas but I would be careful as those can create a laundry list of additional issues. In 2022 the rents increased 12.1% year over year which was the 3rd highest in the entire country per https://www.axios.com/local/cleveland/2023/02/14/cleveland-rent-prices.
Here are pockets I focus on for cash flow:
West side - West boulevard, Cudell, Clark-Fulton, Jefferson, Bellaire-Puritas, Old Brooklyn
East side - Fairfax, Buckeye-Shaker (the north side), Waterloo Arts District, Garfield Heights, Maple Heights, Newburgh Heights, Lee-Miles (the north side), Bedford
Here are the areas that I focus on for appreciation:
West side - Lakewood, Edgewater, Old Brooklyn, Ohio City, Tremont (above 490)
East side - Buckeye-Shaker (the north side), Waterloo Arts District, Fairfax
*I have a graded neighborhood map of these areas as well if you would like to check it out.
Hi @Joshua Janus this is great information, surely I will go deeper to areas you mentioned. Thank you.
Quote from @Brittany Minocchi:
Hey @Bagus A.!
Ohio is a great place to invest in general, and Cleveland is a popular market. I would also suggest checking out Akron and Canton (I personally invest in Canton and favor cash flow) -- you should have decent luck finding properties in all three areas at your price point.
From a lending standpoint, be aware that if you plan to refinance with a DSCR loan once rehab is complete, most lenders have a minimum loan amount of $75-$100k and want to see somewhere around 20-30% down depending on the scenario.
Hi @Brittany Minocchi thank you !! I will look into the areas you suggest.
Quote from @Jimmy Lieu:
Quote from @Bagus A.:
Hi all I am a rookie investor, almost finish my rookie boot camp with BP.
I live in a suburb DC area in Maryland, and look to invest outside my area. My criteria are up to $70K and mainly focus on cash flow, then do BRRRR. Ohio is one of the prospective areas, I did some research for Cleveland. Are there any other potential cities besides Cleveland?
I m thinking to visit the prospective cities. I look forward to learning suggestions.
I also look to connect with a mentor, realtor, prop manager in the area.Hi Bagus, I personally love Columbus Ohio and as someone who works with a lot of out of state investors - there's so many catalysts for why you should invest here. Specifically, there's job growth (Intel, Honda, Amazon, Nationwide, etc) and the population is growing (unlike Cleveland or Cincy). I really see Columbus Ohio as an extremely safe bet for the next 10-20 years. Plus, there's still so many positive cash flowing and 1% deals here in Columbus Ohio. As a local investor and agent here in Columbus, let me know if you have any questions or want to connect!
This is great !! thank you . yes I'd like to connect with you.
Quote from @James Wise:
Quote from @Bagus A.:
Hi all I am a rookie investor, almost finish my rookie boot camp with BP.
I live in a suburb DC area in Maryland, and look to invest outside my area. My criteria are up to $70K and mainly focus on cash flow, then do BRRRR. Ohio is one of the prospective areas, I did some research for Cleveland. Are there any other potential cities besides Cleveland?
I m thinking to visit the prospective cities. I look forward to learning suggestions.
I also look to connect with a mentor, realtor, prop manager in the area.Outside of Cleveland you'll probably want to look at Toledo, Akron, Canton, Youngstown, Cincinnati & Columbus.
Hi @James Wise I read the article you wrote about the ultimate guide to Cleveland neighborhood. It's awesome information there. thank you.
- 3yJoshua JanusBusiness MemberRealtor · Cleveland, OH · Member since 2021 · 1k+ posts · 1k+ votes
Quote from @Bagus A.:
Quote from @Joshua Janus:
Quote from @Bagus A.:
Hi all I am a rookie investor, almost finish my rookie boot camp with BP.
I live in a suburb DC area in Maryland, and look to invest outside my area. My criteria are up to $70K and mainly focus on cash flow, then do BRRRR. Ohio is one of the prospective areas, I did some research for Cleveland. Are there any other potential cities besides Cleveland?
I m thinking to visit the prospective cities. I look forward to learning suggestions.
I also look to connect with a mentor, realtor, prop manager in the area.Cleveland, Ohio is a great market to focus on for cash flow and specific pockets have gone up 2x and upwards of 4x in the last 5-10 years even!
Examples:
44109 (median home price went from roughly 50k to 125k in 8 years)
https://www.zillow.com/home-values/77009/cleveland-oh-44109/
44102 (median home price went from roughly 30k to 120k in 8 years)
https://www.zillow.com/home-values/77002/cleveland-oh-44102/
44106 (median home price went from roughly 100k to 200k in 8 years)
https://www.zillow.com/home-values/77006/cleveland-oh-44106/
It has the highest rents on average in all of Ohio for major cities and the median income is not even in the top 3. That creates a really nice price / rent ratio which is favorable for investors looking for cash flow. The median home price is also very low nationwide which creates a low barrier to entry. You can get solid cash-flowing single families in the 90-120k price range and duplexes in the 130-180k price range. There are cheaper one’s in D/F areas but I would be careful as those can create a laundry list of additional issues. In 2022 the rents increased 12.1% year over year which was the 3rd highest in the entire country per https://www.axios.com/local/cleveland/2023/02/14/cleveland-rent-prices.
Here are pockets I focus on for cash flow:
West side - West boulevard, Cudell, Clark-Fulton, Jefferson, Bellaire-Puritas, Old Brooklyn
East side - Fairfax, Buckeye-Shaker (the north side), Waterloo Arts District, Garfield Heights, Maple Heights, Newburgh Heights, Lee-Miles (the north side), Bedford
Here are the areas that I focus on for appreciation:
West side - Lakewood, Edgewater, Old Brooklyn, Ohio City, Tremont (above 490)
East side - Buckeye-Shaker (the north side), Waterloo Arts District, Fairfax
*I have a graded neighborhood map of these areas as well if you would like to check it out.
Hi @Joshua Janus this is great information, surely I will go deeper to areas you mentioned. Thank you.
Of course!
- Rental Property Investor · Brooke Park Drive · Member since 2018 · 1k+ posts · 2k+ votes3y
Quote from @Bagus A.:
Hi all I am a rookie investor, almost finish my rookie boot camp with BP.
I live in a suburb DC area in Maryland, and look to invest outside my area. My criteria are up to $70K and mainly focus on cash flow, then do BRRRR. Ohio is one of the prospective areas, I did some research for Cleveland. Are there any other potential cities besides Cleveland?
I m thinking to visit the prospective cities. I look forward to learning suggestions.
I also look to connect with a mentor, realtor, prop manager in the area.You’ll be in C class areas at that price point and the structure probably 100+ years olds. Buyer beware.
- Real Estate Broker · Cleveland Dayton Cincinnati Toledo Columbus & Akron, OH · Member since 2013 · 31k+ posts · 20k+ votes3y
Quote from @Bagus A.:
Quote from @James Wise:
Quote from @Bagus A.:
Hi all I am a rookie investor, almost finish my rookie boot camp with BP.
I live in a suburb DC area in Maryland, and look to invest outside my area. My criteria are up to $70K and mainly focus on cash flow, then do BRRRR. Ohio is one of the prospective areas, I did some research for Cleveland. Are there any other potential cities besides Cleveland?
I m thinking to visit the prospective cities. I look forward to learning suggestions.
I also look to connect with a mentor, realtor, prop manager in the area.Outside of Cleveland you'll probably want to look at Toledo, Akron, Canton, Youngstown, Cincinnati & Columbus.
Hi @James Wise I read the article you wrote about the ultimate guide to Cleveland neighborhood. It's awesome information there. thank you.
- 3yPatrick DruryBusiness MemberReal Estate Agent · Columbus, OH & Cleveland OH · Member since 2021 · 1k+ posts · 2k+ votes
@Bagus A.
With the 70k price range in mind, the Cleveland market would be better suited than Columbus. I would recommend being in areas on the West Side of Cleveland like West Blvd, Cudell, Old Brooklyn, Clark Fulton, Edgewater, Jefferson, and Brooklyn Centre. The reason is the rent-to-price ratio is good so you can cash flow, and most of the West side doesn’t have a Point of sale inspection which is really annoying. - Real Estate Agent · Columbus | Toledo · Member since 2019 · 608 posts · 768 votes3y
Quote from @Bagus A.:
Hi all I am a rookie investor, almost finish my rookie boot camp with BP.
I live in a suburb DC area in Maryland, and look to invest outside my area. My criteria are up to $70K and mainly focus on cash flow, then do BRRRR. Ohio is one of the prospective areas, I did some research for Cleveland. Are there any other potential cities besides Cleveland?
I m thinking to visit the prospective cities. I look forward to learning suggestions.
I also look to connect with a mentor, realtor, prop manager in the area.Toledo, OH
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