Good Charlotte Locations?

Question

Looking for opinions on where to look next for buying property to BRRRR in the Charlotte area.   I am just getting started and have one class B in far north Charlotte now.

Kelly Carter · Answer

Hello, we’ve been looking for a BRRRR in Charlotte for quite some time. I run my numbers very conservatively, and haven’t found much for 2 reasons - 1, the rent ratios are really tough in Charlotte. For example, many of the investment properties sell for 115-120k and then require more money to make them rent for a decent amount - and might rent for 900-1000. If it’s in a profitable and upcoming area (let’s say plaza area), typically it will be listed for under 100k and sell for WAY over that in a bidding war within a few days. And these are homes that need a complete overhaul most of the time. If you are a cash buyer and have an awesome contractor team then maybe it’s worth exploring. Personally I think the profit margins just aren’t there.

Dan Handford · Answer

@Richard G. One of the best ways to find deals in this type of market is driving for dollars or spending extra time, energy and effort finding true off market, broker listed deals. Send me a PM and I can share with you a really good wholesaler in the Charlotte market that may be able to help you.

I would also recommend using city-data.com to find economic drivers in the various parts of Charlotte.

Eric Jacobs · Answer

I happen to love Charlotte and have a business associate there so I'm always looking for an excuse to get here.  I will connect with you via BP and perhaps we can meet sometime.  Thanks for the kind words about the website.  If you would like another dog you hate, I can try to arrange that....:)  If I get up there, keep the coffee but the scotch is a GO !!!!

Brian Mangum · Answer

Great website by the way.  Yeah, you made a good point here but your website was worth the five minutes I took to creep on you.  :)  I am not in a financial place to hire a coach currently as I am just getting started.  However, I wanted to be on your radar and you on mine.  The message was compelling and a breath of fresh air.  I also don't like talking about myself and have 1 dog (out of 2) that I hate.

For now, I can buy you a coffee or a fine malt scotch for 1/2 hour of your time if you are in the Charlotte area.  If not, I will see you on the way to the top.

Eric Jacobs · Answer

All major markets are tight for deals.  The cycle has been long.  Having said that @Richard G., while I would wonder why you are wedded to Charlotte, I would not just shut the lights off and go home.   Understand that it is just going to be a hard market to buy for cash flow.  I might suggest that you would benefit from focusing more on expanding your network than finding a property and you might find that the former will serve the latter.  Good luck

Account Closed · Answer

@Kelly Carter same here. I'm down the road near Harrisburg and if something comes on the market/or off it just gets bid up and drives you well below even just 1% rent to purchase price. Even with major work needed.

Richard G. · Answer

Thanks DAN and I will PM you.  I'm right now on the journey to free up some working capital likely through a cash out refinance of one or two properties so I can get ready to jump on the next deal.  I'm finding it clear that trying to find opportunities on the retail market is not going to end up well.

I listened to someone's podcast on BP where they talked about doing direct mail to absentee owners and I might try a bit of that.  Thoughts?

Brian Mangum · Answer

Thanks for this insight, Kelly.

Richard G. · Answer

Thanks for the input.  I'm just starting my research into growing my portfolio and what it would take.  My plan when I moved to the area 4 years ago was 1 house per year.  Unfortunately that did not happen but now that I have that first one going and cash flowing a very nice amount the bug to expand is back.

Ian Kurela · Answer

A decent amount of influential people have stopped buying in general, regardless of location. Considering Charlotte prices have skyrocketed recently, I would strongly suggest that whereever you find your deal, make sure to stress-test the financials. Best of luck to you though. I have just moved to the area and have little knowledge of neighborhoods.

Good Charlotte Locations?

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