East Muskegon Neighborhood

8 Replies | Grand Rapids, Michigan

My husband and I are looking at a house in the East Muskegon neighborhood. Anyone have experience in that area? The realtor suggested we could get $850/month in rent for a 2 bed, 1 bath, however, my research suggests more like $650-750. It's pretty close to the Heights. This would be our first rental property and cash flow would likely be around $300-400/month.  

I would give lighthouse property management, choice pm, and west shore pm a call to confirm rent rates in that area. My guess is between $700-$800/month

Thank you all for your input!

@John Paleaz

It does have a new roof, new hot water heater, new cabinets/counters and new flooring (the flooring doesn't look like it would last one tenant, though!). It was a quick remodel.

Do you have a problem finding good tenants in that area?

@Clarence Johnson , I'm not a seasoned investor at all and don't know the area too well. But, Muskegon still has some great deals and there seems to be a lot of growth planned for the area. There's houses for 20-50k in what I would consider C class areas, and that's just what I am finding on my own on the MLS or Zillow. I'm sure investors with a network might be able to get houses for better prices in a bit better areas. Your Aunt probably knows what areas to avoid and which ones would be best to invest in.

I know the last reply is 4 months old, but we are hopefully closing on our first deal next month.  We lived in Lakeside for a couple years and now live 20 minutes out of the city. But, we're buying in East Muskegon (very near to MCC). We are getting a 2 bed, 1 bath for $55k and are bumping the tenant's rents from $650/month to $700/month. She pays all utilities. After mortgage, insurance, taxes, cap ex, property management (self-manage), and vacancy, we look to cashflow around $100/month. 

The realtor also is a landlord (actually his property I'm buying) says the market rate for the area is more like $750-800/month for 2bd/1bath, but our property needs a decent amount of renovation. 

I'm curious if you went ahead on the deal?