Hi all! My name is Reed Cao and I am on the lookout for potential real estate investing / networking opportunities in Ann Arbor. I now live in Tucson, AZ but am back for the holiday break, and will be in town until the 24th. While visiting Ann Arbor, I began to think about how I might want to invest here, given the fact that I grew up in Rochester Hills (where my parents still live) and went to school at the University of Michigan (graduated in 2016). Going to college in Ann Arbor really helped me understand the rental market, and that aligns with my buy and hold strategy. If there are any realtors/real estate investors in the area that would be willing to meet up, I would love to get the chance to meet you and discuss opportunities for both of us. Thanks!
Hey Reed. I live and work in AA but don't personally buy & hold here. My 2 cents is that making the math work (meaning positive monthly cash flow) on a buy and hold rental (I assume we are talking about a SFH) will be tough. Happy to discuss further if you'd like. Good luck!
I agree with Zach. Not that the 1% rule is golden, but I don't find things anywhere near the asking price of a cash flowing deal. If you network, hustle, or get lucky then it can definitely happen. But there aren't an sure fire deals that can easily be picked up.
Hi Reed, I have lived in Ann Arbor for a long time. I agree with Zach. Happy to meet/discuss.
Originally posted by @Nathan DeJonge :
I agree with Zach. Not that the 1% rule is golden, but I don't find things anywhere near the asking price of a cash flowing deal. If you network, hustle, or get lucky then it can definitely happen. But there aren't an sure fire deals that can easily be picked up
Profitable deals in Ann Arbor can be done, but you're going to have to do it through value add if it's a property on the MLS. @Sarah Lorenz has specializes in that (her husband is a contractor). The ones I've done in Ann Arbor were off-market.
Thanks, @Joshua B. ! Yes, after living in A2 since 2000, I've watched the market obsessively and there are definitely opportunities. But there are a lot of buy and hold investors who will snatch up any good deal on the MLS within 24 hours, and many are done off-market. You have to be strategic, and there are a number of ways to do that. I finally got my real estate license because I would watch deals go by that I couldn't pick up myself--I figured that I might as well help other people buy them. But it definitely isn't for everyone--this is not a 100K market. There are a lot of those in southeastern Michigan, though.
Lots of good insight here. Ann Arbor is tough. You will have to do rehab, buy off-market, or otherwise get creative. I'm also happy to discuss ideas. My specialty is Ypsilanti, Ann Arbor's younger, hipper, scrappier sibling (in my opinion!)