Yes, there are more than a handful of renovations currently going on in English Ave and Vine City. Many homes are in HORRIBLE condition. I am seeing more new construction in English Ave than Rehabs, but both are happening. I would double you normal renovation costs for this area.
To be honest, I view Vine City and the Bluff more as speculation than investing. Prices have risen significantly due to this speculation and I don't see a reasonable return given the risk associated. I think the appreciation is spurred by the hope that large tracts of land will be assembled by a developer or institution. I had one group call me and ask if I had any doors close to Northside Dr. They wanted to buy up homes and hope The Blank Foundation would buy them up.
@Julian Jackson what's a successful buy-and-hold strategy in English Ave look like? E.g. buy at $80k rent at $800/mo?
I went to GT a while back and that's definitely an area you stay away from. But at the same time most of English Ave is a designated Opportunity Zone... I'd say it's not a bad one either given it's in a known path of progress (beltline).
Hey @Richie Choy, currently a Lot is going to from you from about 45k to 90k, depending on the size of the lot. Add the burnout, or whatever that is currently there... It's possible to find a property potentially for 80k, but it WILL NOT BE LIVEABLE, or even kind of. There are homes renting in English Ave for $1000-$1500. English Ave is becoming less of what it once was. Homes have recently sold as high as 250k ARV for 1500 sq ft. The issue again is there is so much speculation to the point that after you get your own numbers for rehab, the projects only make sense for a buy and hold. Like I said earlier, do yourself a favor and double the normal costs of a rehab when entering this neighborhood.
@Talibah Coleman is there much potential for appreciation in Clayton County? Overall, i haven't seen anything in the past or present that makes me think that home values will increase significantly. I've heard and read more about Henry County but not sure of Clayton. I understand that some of what's going on on the westside and southwest Atlanta is speculative (aside from all the big developments) but our investments there have done very well the last few years. Proximity to midtown and downtown is key. I still consider many of these neighborhoods (including English Avenue and Vine City) to be a much safer buy and hold. Of course, the numbers have to be right. In fact i have reason to believe that many low income people who are being displaced in these neighborhoods (unfortunately, and partly because of significant rise in property taxes) are moving to Clayton County. I don't know how that will help property values there. I believe College Park and parts of East Point are also better than Clayton County for buy and hold. If there is something i am missing i will like to hear it.
Right, I agree @Randy Lee, for me it’s good because I’m building slow. And, I prefer not to be too competitive. My returns are good as long as my balance continues to decrease, I can sell right now for 100k and still get 40k as a nice return. I haven’t owned it for more than a year just yet. I’m not knocking midtown. I’m just not ready for all that competition.
Having the familiarity of living in this area, I was recently thinking about investing in this area as well. There is a lot of speculation and potential in the future--don't you think? I have not made a final decision just yet on the investment.