Durham Neighborhoods

[Dave Olverson]

Recently, I have been doing some research on the neighborhoods of Durham. As someone who doesn't (yet) live in Durham, I wanted to share my thoughts on the different neighborhoods and let people:

a) tear apart my thoughts if they are incorrect and

b) share their own thoughts on Durham neighborhoods!

Here's are my notes so far:

• Duke Park & Trinity Park - Seems like these neighborhoods have already "arrived". Really good neighborhoods, but properties might be too pricey and deals might be scarce here.
• Cleveland-Holloway - Currently "arriving" - could be some good deals to be had, but who knows for how long!
• Albright - Might take a little while longer, but given proximity to Cleveland-Holloway, could be the next up and coming neighborhood.
• East Durham - REALLY hit or miss. This could eventually be up and coming, but even more so than the rest of Durham, the landscape drastically changes block-to-block. This is a more risky area for investing
• Forest Hills - Another nice neighborhood on par with Duke Park and Trinity Park, but MAYBE there are still some deals to be found here?

I'd love people's thoughts on these neighborhoods as well as neighborhoods that are a little further away from downtown. Where do people currently invest and what neighborhoods do you focus on?

I am especially interested in a few questions:

• What neighborhoods have good cash flow? A lot of the downtown neighborhoods I assume are good appreciation plays, but there must be neighborhoods further out that are good cash flow opportunities.
• How do people feel about the Warehouse District?
• How do people feel about Watts Hospital-Hillandale?

Thanks for playing!

[Randy E.]

@Dave Olverson, I'm a small fish and most of those neighborhoods are above my pay grade.  But, here's my impression.

Duke Park & Trinity Park - Definitely neighborhoods that have arrived.  Great places to live.  Definitely Pricey.  I assume deals are few in those places, but they're both priced out of my range so I hardly ever research there.

Cleveland-Holloway - You could say "currently" arriving, but I think it has arrived for the most part.  There are already houses in this area that cost as much as homes in Duke Park and Trinity Park.  OTOH, this is definitely an area in transition, as many residents are not in the income bracket of where the neighborhood is trending.  So, theoretically there are deals here, but the holdover property owners (not always the same as holdover residents) know what is happening in the area and prices for houses in need of complete reno houses are going up and up.

Albright - Yes, transition is starting and yes it will take a while to fully take hold.  The positive side is there are deals to be had here.  The negative side is depending on how far from the downtown core you go, gentrification may take longer than you wish to arrive.  I really like the potential of this area.  DISCLOSURE: I have a property in Albright and I'm looking to buy more here, so I'm biased.

East Durham - I could see many out-of-town investors and even local investors overlook this area.  To be completely honest, I'm not too keen on its near-to-mid-term rise.  However, after Albright arrives, this is the next logical move for gentrification.  Prices here have risen somewhat over the past few years, but I can't discern if that uptick is because of overall market improvement or speculation.  Probably a bit of both.  This area is definitely not as "dangerous" as it was in recent years, but I imagine it would appear too sketchy for many investors.

Forest Hills - This has been a "arrived" neighborhood from the day it was conceived.  My kids attend a school here, and I know many parents who wish they could afford a house in this area.  I don't live there, but if you gave me enough money I'd be there.  I have no idea if there are deals here, because it's so far above my budget (investing or living) that I hardly ever "shop" here.

Maybe, other more experienced investors might chime in.