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.
@Monique H. I would never trust the realtor, they just want to make the sale. Trust your research and if you haven't already, call a few property management companies in the area and ask them.
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
@Monique H. $850 is kinda high. Are they completely remodeled? I would agree on your rental estimate. I have 2 units in the area and they rent $700.
Thank you all for your input!
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?
@Monique H. I have an aunt who lives there and I have been researching the area. Curious about the purchase price and neighborhood class. Any other insight on this area would be greatly appreciated.
@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?
Hey Nick, I don't have an answer for you but I'm also a local Muskegon investor looking to make our first purchase this month. Would love to know more about your buying experience here.