St. Louis suggested areas

[Danny Herries]

Hi St. Louis investors,

I am considering purchasing my fist buy and hold property. I need suggestions on where I can go to generate good cash flowing rentals. I am considering Ballwin, Manchester, Webster Groves, Kirkwood, and Richmond Heights. I realize I could probably get better cash flow in the city or other less prosperous areas but I feel I will find a better type of tenant in these areas. I plan to spend between $90,000 and $150,000.

Also, does anyone in St. Louis get close to the 2% rule/ is everyone at least getting 1% of the mortgage on rentals?

Thanks,

Danny

[Max Householder]

Unless you can find properties that need a lot of work it may be tough to get into Kirkwood, Webster, Richmond Heights, etc. without spending most of your budget on 1 property. Same for Ballwin and Manchester. Although nice places to live, they're more expensive as a result.

A lot of people here invest in south city. If you can get familiar with the various streets neighborhoods, there are plenty of safe areas with solid homes for relatively cheap. I know because I live here! lol Stay west of Kingshighway and you should be OK for the most part. There are a ton of blue collar neighborhoods along & immediately south of River Des Peres as well.