Another Newbie living in San Diego interested in Ohio

Paul Timmins

Specialist · Rockland, MA · Member since 2010 · 7k+ posts · 2k+ votes

To find out about an area go to IREM.org search for ARM certified property managers. Call 5 ask them what parts of the city they like/dislike and why. Ask them what they see expenses running per category per unit. What do they see them selling for per unit, what is the market occupancy rate. What are the market rents? Ask them if they know anything coming up for sale. Great way to pick up some good info and possibly a deal.

You can also search NARPM.org for the RMP (Residential Management Professional) and MPM (Master Property Manager) certified.

Paul

Raul Pedrozo

Flipper · Wooster, OH · Member since 2012 · 139 posts · 30 votes

Good morning Sonya,

I'm a local NE Ohio investor and know Akron and surrounding areas pretty well.

PM me if you need support, I may be able to help.

Raul.

Michael Lauther

Investor · Hampton Bays, NY · Member since 2009 · 907 posts · 258 votes

Welcome to BP, I am an buy and hold investor living in Florida and investing in Dayton OH.

I can tell you that purchasing the properties at a good price is the easy part. Finding someone to rent your property is a little more difficult long distance but the critical part is finding reliable people to help manage and repair your property.

this part of the equation has eluded me. I have 5 properties in zip code 45403 and good help seems to come and go. what looks good on paper quickly erodes when a once reliable property manager drops the ball.

Best of luck to you , make sure you have support in place, visit the neighborhoods you plan to invest in and if I can be of any help feel free to call, text or email.

Darrin CareyPro Member

Lender · Dayton, OH · Member since 2008 · 1k+ posts · 705 votes

@Sonya A. If you'd like to chat about the Dayton Market, feel free to give me a call.

@Michael Lauther If you need some Dayton Property Managers that are good, let me know. Among the many, there are a few good ones. A good handyman and a good price is harder to find.

@Paul Timmins

Most property managers won't say which parts of a city they like/dislike. It can be viewed as steering and could become a fair housing violation.

OP

Alpine, CA · Member since 2014 · 11 posts · 7 votes

Thank you everyone for welcoming me with your kind words and replies. I don't know how to address each of you with @ and your user names yet... Big newbie here.

I do understand that the management and maintenance can be a challange when your long distance. I'm sure you are all busy but I would love to contact you regarding the neighborhoods and which ones are best for rentals. Thanks again for sharing!!

Engelo RumoraBusiness Member

Investor · Toledo, OH · Member since 2013 · 4k+ posts · 2k+ votes

Podcast Guest on Show #89

Originally posted by @Sonya A.:

Hi everyone. My name is Sonya Aqili and I live in beautiful San Diego. I have been interested off and on in real estate since 2008, but felt the time wasnt right / didnt have funds. Ha.... I don't even own my own residential property but I have been looking for a condo to buy here in over priced San Diego. I had my own business up until recently when I joined the rat race again. I immediately thought ..... What have I done???? I love the fact that I dislike my job because it motivates me to do something I may never do otherwise : )
I'm a single mom and cannot relocate now as my son is in high school and I don't feel it's appropriate to move him. I would have to be a long distance investor and I know many believe that is not a good idea.
I've been lurking and listening to podcasts for sometime now and keep hearing over and over that I need to get off my ..... And DO SOMETHING...

I am interested in investing in Akron, Youngstown, and Dayton Ohio. I want to buy and hold for cash flow and these areas seem to be something I can afford. I am interested in multi families (2-4 units) and have been looking near the University of Akron near the hospital. Something in the 50k range that doesn't need to much rehab.

I will admit I am a little scared to do it, but I have to ...... otherwise my brain will never let me rest. Anyway, I just wanted to say hello and introduce myself. This networking will be a bit of a challenge for me since I'm a bit introverted. I also want to thank everyone for the knowledge they share to all us lurkers. : )

Hi Sonya,

Ohio is a great market along with many others in the Midwest.

I always stress to new investors to focus more on establishing trust and relationships with key people on the ground rather than looking at the stats and demographics of a particular area straight off the bat.

Every time I lost money in real estate wasn't due to the numbers not working in the deal. It was the cause of trusting and working with the wrong people.

As they say "Business is easy, its the people that make it difficult"

That's my 0.2 AUD.

Thanks and much success moving forward ;)

Oz Realty4.5356 Reviews

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Brandon TurnerPro Member

Investor · Maui, HI · Member since 2009 · 13k+ posts · 3k+ votes

Podcast Guest on Show #92

Hey @Sonya A. welcome to the site! Definitely start jumping into the community here! Be sure to read through The Ultimate Beginner's Guide to Real Estate Investing to help you get started.

Also -be sure to setup some keyword alerts - especially for "Alpine" so you can jump into local conversations.

See you around the forums!

Marlon Wilson

Houston, TX · Member since 2013 · 1k+ posts · 114 votes

Hi @Sonya A.!

Welcome to BP Community! Wishing you the best of luck on this venture! Keep growing!

Raymond B.

FL · Member since 2009 · 2k+ posts · 357 votes

@Sonya A.,

To Make the @ work do the following:

Hold down the shift key and type the following: @?

Look below this Window, and you will see a list of list of names of people who have posted in this thread.

Click on the name of the person that you want notified via an email that you responded to them.

If you are a Colleague with anyone that has not posted in this thread, and you want them to see your post, hold down the shift key, and type the @ and the first 4 letters of the first or last name.

Look below this Window, and click on your Colleague's name.

They will be notified via an email about your post in this thread.

Raymond

OP

Alpine, CA · Member since 2014 · 11 posts · 7 votes

@Raymond B. : ) i got it!! thank you for you help

Joe Moore

Rental Property Investor · Los Angeles, CA · Member since 2010 · 804 posts · 230 votes

Yes, investing long distance can be scary. Taking that first step is crucial to take. If you can take the time to go to the area to scout it also good investment in time, cash, and your future. A good turnkey property may work. Good luck to you.

Tim G.

Rental Property Investor · San Diego, CA · Member since 2011 · 1k+ posts · 1k+ votes

Howdy, there are a few other SD investors already doing the same. I may be able to introduce you to them.

We're planning a meetup on May 6th in Kearny Mesa for BP members you should come get introduced.

Curt DavisBusiness Member

Flipper/Rehabber · Memphis, TN · Member since 2008 · 5k+ posts · 2k+ votes

your chance to truly be successful will be very slim if your only looking at $50k properties and that is for any market. If you have $50k consider conventional financing and buy a nicer home in a better area. What you are looking for will produce low income tenants and it doesn't matter how good of a team you have there, if the investment itself is poor the team can only do so much.

Curt Davis - KAIZEN Realty538 Reviews

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Gordon Weakliem

Denver, CO · Member since 2015 · 16 posts · 4 votes

@Sonya A. what made you choose those cities for investment targets?

Mark Shaffar

Real Estate Agent · Madison, WI · Member since 2015 · 328 posts · 88 votes

@Sonya A.Good choice! The Midwest is the place to be. The numbers make a lot of sense here. I also agree with Engelo, The numbers are part of the story and knowing the people you work with is the more important part. I bought 4 turnkey rentals in St. Paul, MN while living and working in China. They are doing well but terrifying to buy at first until I met the CEO of the turnkey provider and toured his other projects. I ended up liking their business so much I started working for them a few weeks ago.

Chris ClothierBusiness Member

Rental Property Investor · memphis, TN · Member since 2009 · 2k+ posts · 3k+ votes

Podcast Guest on Show #224

Welcome to BiggerPockets! You have found a great site to help you get started as well as a great place to get inspiration and ideas.

You seem to already know where you are going and I am sure there is a reason why. Just reading through, I wanted to add a couple of thoughts to reinforce what Curt said.

I think @Curt Davis was spot on. Low priced properties, which may be all you believe you can budget for, are an extremely risky investment for a passive, out of area investor. Locals can make the low-end stuff work - but only because they are close to their properties...and believe me - they are work! I speak from experience that passively investing and sticking to a cheap price point is a tough road to go down. It does not matter how good your relationship with a company is or how good your team is - if the property is a low-end junker, even one with decent repairs (quality repairs require more money and drive prices up), it is going to attract a tenant that can only afford lower rents.

That is a tough road to travel as a beginner and as an out of area investor. Be careful as you go and if you are not comfortable, there are literally a dozen other ways to get involved with real estate passively and build your resources until you can buy a property with better underlying fundamentals like location, price point, repairs and tenant quality.

If I had to do it all over again - going back 13 years - I would skip the cheap crap. They took valuable dollars out of my pockets, caused sleepless nights and took years off my life! I would change my approach and build my portfolio on the back of better properties in better areas with the best teams. You are not going to find the best in these lower price points. The ones who succeed with the cheap stuff are the active investors who are local and hands-on.

Hopefully that does not come across as negative. I want you to have massive success and get stared as soon as possible - just wanted to reinforce a point that may have been missed. Best of luck to you!

REI Nation4.476 Reviews

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OP

Alpine, CA · Member since 2014 · 11 posts · 7 votes

@Zach Zimmer

@Paul Timmins

@Tim G.

@Curt Davis

Hi everyone and thank you again for all the responses, concern and advise.

I picked Ohio because as I looked at areas such as Dayton, Akron, Youngstown, and Cleveland I noticed they were very close to multiple freeways. These areas did not look like they were far from civilization. I noticed in Akron there were many large businesses, hospitals and golf coarses. Dayton was similar with many hospitals, multiple freeways and an international airport. I know these areas were hit hard with the foreclosure crisis and are still trying to make a comeback. Some believe these areas are ripe for a comeback and I'm sure some believe they won't. I know I have zero experience and almost zero knowledge. I used to dabble a little in the stock market and one thing I learned is you have to do the opposit of what the majority are doing. Sell when everyone is buying. Crisis is opportunity.

I also understand that low income places are risky because the type of tenants that are attracted to the lower priced properties tend to thrash the place. If you fix it they thrash it again. However, my understanding is $40k-$70k properties are normal for these areas. I may be completely wrong but aren't there working class families that live in a lot of those areas? I had hoped to rent to blue collar or near university college students maybe. Buy something turn key or pretty close to. I've seen a few places that are already rented and seem to have potential for good cash flow.

Trust me I am afraid. I dont want to lose the little bit I have. Some one said if I have $50k to invest I should look else where. : ) I don't have $50k to invest and if I did I didn't want to put it all into one place.

I picked this area for those reasons and because I could probably qualify for loans on lower priced property where near me I can't. $50k properties closest to me are in areas that are desolate and no one lives there such as Borrago Springs and 29 Palms. Yes, the have houses there for $50k but no one lives there and there aren't any businesses let alone large hospitals, Fortune 500 companies or freeways.

I see that others are able to make it sure and I am sure there are many that have failed but I think if you can do I can do it too. I get that the property manager could be the key to making the entire thing work and I admit I know no one in the area and I am terrible at networking. I have a lot of things that are not in my favor. I'm not trying to sound like I have all the awnsers. I just don't see others areas as being a better advantage when I will be far no matter what.

Please correct me and tell me where I am wrong. Any and all feedback is welcome.

@Tim G.

Thank you for the invite. I am interested. Please tell me where and what time on May 6th.

James Wise

Real Estate Broker · Cleveland Dayton Cincinnati Toledo Columbus & Akron, OH · Member since 2013 · 31k+ posts · 20k+ votes

Sonya welcome to the site.

Glad to see you added Cleveland to your list of Ohio cities. I, of course am biased towards the Cleveland market due to my business but I think it is on an upswing.

If buying in Cleveland proper make sure you buy in the right areas. Some areas are good while others are horrible.

The suburbs are all pretty nice as well. No really bad areas in the burbs.

Dmitriy Fomichenko

Solo 401k Expert · Anaheim Hills, CA · Member since 2012 · 18k+ posts · 6k+ votes

Welcome to BP @Sonya A. Find and network with local investors using find feature! http://www.biggerpockets.com/meet

Also, be sure to set up “keyword alerts” to notify the topics that interest you.

All the best to you!

Isaac RowePro Member

Rental Property Investor · Cleveland, OH · Member since 2014 · 214 posts · 86 votes

[email protected]440-822-8422

Welcome to BP! Lots of great areas to invest in the beautiful State of OHIO! If you have any interest in the suburbs of Cleveland feel free to reach out. Have a lot of contacts and insight into the area.

Best of luck to you!

Jen Kurtz

Professional · Pittsburgh, PA · Member since 2013 · 88 posts · 42 votes

I agree with @James Wise

, I would personally be comfortable in any suburb of Cleveland. I am also comfortable in the suburbs of Youngstown as well. If you ever want to shoot me a question about y-town, I would be happy to help you in any way I can. Good luck! You have more guts than me, I don't think I could invest across the country unless its in liquid REITs! Haha- Someday, hopefully. :)

OP

Alpine, CA · Member since 2014 · 11 posts · 7 votes

@Jen Kurtz

Hi. Thank you for adding that. It helps hearing from locals. I noticed you are looking for multi families in Akron. May I ask why you choose Akron over Cleveland or Youngstown? Just curious as all three of those areas are areas that I'm looking at.

OP

Alpine, CA · Member since 2014 · 11 posts · 7 votes

@Jen Kurtz

Please see above message. Not sure why that didn't work the first time.

Jen Kurtz

Professional · Pittsburgh, PA · Member since 2013 · 88 posts · 42 votes

Originally posted by @Sonya A.:

@Jen Kurtz

Please see above message. Not sure why that didn't work the first time.

I do look in the area I reside too, which is Youngstown. While I would do Cleveland as well- Pittsburgh and Columbus are my favorites right now, and I used to live in Akron after I went to Kent State- I love Akron and Kent a lot for student housing because I personally know it very well. :)