I'm new to the Multi Family space and am looking at the Detroit market to start investing in apartment buildings of 80+units or more. Looking for B to C+ neighborhoods with rents in the $700-1000 range. I wanted to get some feedback on how that market is in this space. Obviously there are goods and bads to every market, but I've heard a lot of mixed messages about Detroit. I know there is a revitalization underway but also still some very bad areas. I'll be flying out there in the next 10 days to take a closer look myself but wanted some feedback from anyone that can help.
Apartments with 80+ units are hard to find, but they certainly do exist in Detroit. You’d be more likely to find something in the 30-50 unit range, especially in more desirable neighborhoods. I still maintain that multi-family is the way to go in Detroit as single-family homes in decent neighborhoods are hard to find. Lofts are overvalued for the most part right now, at least in my opinion. Commercial properties are also a good bet as more and more businesses are moving their operations downtown. I primarily invest in Grand Rapids, MI, but my partner and I are looking to get into the Detroit market is some fashion, whether that’s investing or property management.
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