Starting to invest in Columbia, SC

Starting to invest in Columbia, SC

Investor · 94107 · Member since 2020 · 5 posts · 1 vote

Hi all,

My business partner and I have identified Columbia, SC as our next rental market. We are OOS investors.We'd like to begin purchasing SFH properties there at a pace of 1-2 every 3ish months. I'd love everyone's opinions on the following.

Areas we're looking at:

Five Points, West Columbia, Lexington, Downtown, Irmo, Shandon, Rosewood, Olympia, Ballentine, Earlewood, Forrest Acres, Millwood, Blythewood, Chapin, Quail Valley, Spring Valley, Elmwood, Arsenal Hill, Broad, Bush River

Areas we're avoiding:

North Main, Two Notch, Friarsgate, North Columbia

1st question: Are there any areas we aren't looking at OR are there any areas we should be avoiding that we aren't?

2nd question: We understand tax implications at a high level but are still struggling with how to estimate investment property tax over regular property tax. Are there some resources you all recommend?

3rd question: We're looking to connect with other local 1) real estate agents and 2) property managers. If you are either of those, please reach out so we can chat! We already have a few high quality 

Our ideal house is between 75,000 and 125,000. We're willing to pay a premium for recently renovated homes or homes in good shape. Brick homes in particular. 

Thanks everyone!

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Member since 2018 · 4 posts · 7 votes
5y

Hi David,

I too am a OOS investor; however, I am from Columbia and my entire family lives there.  I have 4 properties there.  I think all of those areas are solid plays.  I was just in Columbia, and I was shocked at how much the culture has changed since I left in 2001.  This is the main difference:

People are moving in, and graduates from USC don't want to leave.  It is truly growing in ways that most locals can't comprehend because Columbia has always been a "stable market" meaning no appreciation but high cashflow.  I believe this represents an opportunity because a lot of local investors are scared to invest because of the fear of a market plummet.  2008 effected the Columbia market horribly.  

Columbia can be street by street, so it is very important that you have a trusted Agent or PM on the ground to tell you if a street is a "warzone" because you do not want to invest on those streets unless you are willing to manage it yourself. Some PM won't touch it. If its a SFH and more than 200 k, it likely is in a good neighborhood, but always double check.

I hope this was helpful. 

Best of luck to you and your partner.

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  • Member since 2018 · 4 posts · 7 votes
    5y

    Hi David,

    I too am a OOS investor; however, I am from Columbia and my entire family lives there.  I have 4 properties there.  I think all of those areas are solid plays.  I was just in Columbia, and I was shocked at how much the culture has changed since I left in 2001.  This is the main difference:

    People are moving in, and graduates from USC don't want to leave.  It is truly growing in ways that most locals can't comprehend because Columbia has always been a "stable market" meaning no appreciation but high cashflow.  I believe this represents an opportunity because a lot of local investors are scared to invest because of the fear of a market plummet.  2008 effected the Columbia market horribly.  

    Columbia can be street by street, so it is very important that you have a trusted Agent or PM on the ground to tell you if a street is a "warzone" because you do not want to invest on those streets unless you are willing to manage it yourself. Some PM won't touch it. If its a SFH and more than 200 k, it likely is in a good neighborhood, but always double check.

    I hope this was helpful. 

    Best of luck to you and your partner.

  • Member since 2018 · 4 posts · 7 votes
    5y

    Check the local assessor's website to find out what the property taxes are.  
    AssessorSearch (richlandcountysc.gov)
    Your taxes will be based on your HUD, so keep that in mind when you check the current taxes on the properties.

    I would assume 3% for Richland county.  They are HIGH for investors.  Cayce will be less.  

    I would recommend Mary Twitty at the Shandon Group for PM and Christopher Bunge for a real-estate agent.  He also partners with Megan who is great GC.  I'm sure there are many other great PM's, Agents, and GC's in Columbia as well.  Mary Twitty is also an excellent agent for finding good deals.

  • Rental Property Investor · Upstate SC · Member since 2021 · 2 posts · 0 votes
    5y

    Hate to jump on others threads

    @Adam Odom Might be of interest, as I am in looking to invest in that area. 

  • Lender · CA · Member since 2019 · 82 posts · 46 votes
    5y

    I am also looking to invest in Columbia SC. I am looking at Curvewood Rd, is that “war zone”? 😩

    It’s by a nice park, North Springs Park. 
    thanks in advance BP fam

  • Rental Property Investor · Greenville, SC · Member since 2019 · 6 posts · 0 votes
    5y

    @Adam Odom I’m interested. Let me know the details.

  • Real Estate Agent · Columbia, SC · Member since 2020 · 26 posts · 21 votes
    5y

    @Jessica Tsao hit or miss in the northeast. It’s not an absolutely terrible area.

  • Investor · Lexington, SC · Member since 2016 · 5 posts · 3 votes
    5y

    @David Freeman I would recomend the Broad River/Bush River be added to the avoid list.Olympia is older homes, heavly lower income, and college frat houses. There a little pockets throught out most areas of the midlands that I wouldn't invest in. If you have a specfic street name or subdivision I would be happy to share what I know. 

    I am a local licenced property manager and own 10 SFH, with over 15 years of experience. If I can help please contact me.

  • Columbia, SC · Member since 2018 · 14 posts · 6 votes
    4y

    @Adam Odom mind sending me the details on that duplex as well?

  • Mount Pleasant, SC · Member since 2016 · 13 posts · 5 votes
    4y

    I own one rental in West Columbia (Lexington County) and property taxes are tough.  I have three in Charleston County and the taxes there are much lower but of course its a harder market to buy into.  Pay attention to school rankings...generally higher in Lexington County than Richland and both counties offer fairly attractive price to rent for buy and hold.  

  • West Columbia · Member since 2021 · 8 posts · 3 votes
    4y

    @Adam Odom I'm interested in your duplex. Can you send me the details?

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