Advice for Cleveland Ohio
Du Bois, PA · Member since 2017 · 134 posts · 16 votes
I am going to start working on some turnkey properties in the Cleveland Area, Need to know the good zip codes to look in and the good neighborhoods. Any advice would be appreciated!
Being a south 'burb Cleveland local, I know the familiar rental spots that @James Wise has in the aforementioned map, and I think that is a great resource for sure! In the early-mid 2000's, I had a lot of friends that moved to the Lakewood area for the close location to their jobs in downtown Cleveland, and the cheaper rents than downtown, not to mention Lakewood has more bars per capita than any city in Ohio. Lakewood seems to keep the young and nearly established professional crowds coming in. Lots of neat chefie-foodie type of restaurant upstarts there too. ;0
I think the business model that James is sticking with on the "west side" of Cleveland is actually pretty smart. He is from there, and his people would know the community and the people. Ride that model til the wheels fall off.
For those not familiar with the personality and character of Cleveland, the city of Cleveland proper is split by the Cuyahoga River into the East and West sides. It's not quite a full fledged rivalry to our generation, but for our parent's generation, it was... in a fun, anecdotal kind of way mostly. That being said, in the 70's and 80's as families spread out from the city into the suburbs on either side of town, west-siders rarely made it over to the east side, and vis versa. (As a nearly lifelong resident of North Royalton (south-west side burb), I can honestly say I haven't been to the east side since the Feast of the Assumption fair in August. It's just one of those things, we have everything we need over here, and they have everything they need over there. It's not personal, it's business! :)
But, there are plenty of west side opportunities to go around, as I'm sure there are on the east side, but I'm sure James has his hands full with more than enough deals on the west alone. Perhaps he will one day start an east-side chapter of HoltonWise, which of course, with the right management would excel I'm sure.
One thing I haven't researched or heard too much about is the opportunity for the Medina county area (next county south of Cuyahoga county). I believe Medina county was the fastest growing county by population in Ohio in one or both of the decades between 1990 and 2010... I need to check that out and see if multi-family is worth looking into there.
Cheers
I am a life long westsider (Parma Heights), however work, invest and sell in both the east & west side. I believe there are lucrative investment opportunities on both sides of the town. Personally, I own rental properties all over Cuyahoga County, as my approach is to maximize an opportunity when presented (no matter the location). What I've discovered is that many realtors are only experienced to their specific location. Finding an experienced realtor who works and understands the vast Cleveland market (east & west side) is the best approach to fully take advantage of the many opportunities presented in this area.
The Cleveland area has a ton of opportunities. In single family homes areas like Bedford 44146, Euclid44123, 44132, Cleveland Heights44118, South Euclid 44121, Garfield Heights 44125 and our favorite Parma 44130, 44129, 44134. If you are looking for 2 family properties, Cleveland Heights and Lakewood 44107 are the prime suburban markets. There are many opportunities in the city itself. Areas like Old Brooklyn 44109 and most of the westside 44111 are investor favorites.
I am going to start working on some turnkey properties in the Cleveland Area, Need to know the good zip codes to look in and the good neighborhoods. Any advice would be appreciated!
Hello and welcome to Cleveland (market)
Always be careful when looking to invest here. There are people who will point you in the direction of East or West depending on which markets they work in. They will ignore many cities because they don't want you to look at them. Make sure to find someone/provider who will focus everywhere. Also, make sure to look into TRUE providers. Some "turnkey" companies will just use the MLS to find you a home that needs little work. A true provider will own the home and do all the work. This way you can hold them to what was done.
Some good areas could be:
Shaker Heights, Cleveland Heights, Euclid, South Euclid, Lakewood, Parma Heights, Bedford, Bedford Heights, Wickliffe, Willowick, Eastlake, Mentor, and Garfield Heights.
Feel free to send me a message with any questions.
@Jason Weible Welcome to the Cleveland market! Cleveland is a very good cash flow market. Two things to watch for are property taxes and Point of Sale cities. Most cities on the East side will have higher taxes and higher property tax. Often you will also receive slightly higher rent on the East side cities to help off set the higher property tax.
I'm a local investor and agent. Let me know if you have any other questions.
Happy investing!
https://www.biggerpockets.com/blogs/4704/42419-cle...
This is an oldie but goodie post about grading Cleveland neighborhoods. Maybe it should get an update for 2017!
I personally look only in A/B neighborhoods in the Cleveland area. Something with appreciation AND good rents. I want to minimize the hassles that come with pursuing those greater returns in C & D areas. To be honest, my returns are still very good because I buy stuff that isn't rent ready and put in a little money to make it so. Usually gets me a reasonable discount.
Note: That blog post is also east side focused (as evidenced in the comment thread.)
@James Wise how about a new revision for 2017 with your new learnings about the east side integrated:)
https://www.biggerpockets.com/blogs/4704/42419-cle...
This is an oldie but goodie post about grading Cleveland neighborhoods. Maybe it should get an update for 2017!
I personally look only in A/B neighborhoods in the Cleveland area. Something with appreciation AND good rents. I want to minimize the hassles that come with pursuing those greater returns in C & D areas. To be honest, my returns are still very good because I buy stuff that isn't rent ready and put in a little money to make it so. Usually gets me a reasonable discount.
I agree it needs to be updated! It is a good tool, but it is missing almost all of the investment worthy neighborhoods on the east!
@Account Closedundefined thanks for the info, Do you have rentals in the area? Im more starting off trying to buy and sell, then down the road start doing the rentals and such! Appreciate the help though!
@Account Closedundefined thanks for the info, Do you have rentals in the area? Im more starting off trying to buy and sell, then down the road start doing the rentals and such! Appreciate the help though!
Buying and holding is also great! Are you planning on doing flips? If so, send me a message. I might know a way to assist you.
@Tom Ott I plan on doing it all down the road, just need to wholesale a bit until I make money to be able to do the buy and holds and flips
Note: That blog post is also east side focused (as evidenced in the comment thread.)
@James Wise how about a new revision for 2017 with your new learnings about the east side integrated:)
Lots of the East side neighborhoods are described in the content of the blog but a map update is in the works.
@Account Closedundefined thanks for the info, Do you have rentals in the area? Im more starting off trying to buy and sell, then down the road start doing the rentals and such! Appreciate the help though!
I have some properties in the area. I'm doing buy & hold or BRRRR.
Being a south 'burb Cleveland local, I know the familiar rental spots that @James Wise has in the aforementioned map, and I think that is a great resource for sure! In the early-mid 2000's, I had a lot of friends that moved to the Lakewood area for the close location to their jobs in downtown Cleveland, and the cheaper rents than downtown, not to mention Lakewood has more bars per capita than any city in Ohio. Lakewood seems to keep the young and nearly established professional crowds coming in. Lots of neat chefie-foodie type of restaurant upstarts there too. ;0
I think the business model that James is sticking with on the "west side" of Cleveland is actually pretty smart. He is from there, and his people would know the community and the people. Ride that model til the wheels fall off.
For those not familiar with the personality and character of Cleveland, the city of Cleveland proper is split by the Cuyahoga River into the East and West sides. It's not quite a full fledged rivalry to our generation, but for our parent's generation, it was... in a fun, anecdotal kind of way mostly. That being said, in the 70's and 80's as families spread out from the city into the suburbs on either side of town, west-siders rarely made it over to the east side, and vis versa. (As a nearly lifelong resident of North Royalton (south-west side burb), I can honestly say I haven't been to the east side since the Feast of the Assumption fair in August. It's just one of those things, we have everything we need over here, and they have everything they need over there. It's not personal, it's business! :)
But, there are plenty of west side opportunities to go around, as I'm sure there are on the east side, but I'm sure James has his hands full with more than enough deals on the west alone. Perhaps he will one day start an east-side chapter of HoltonWise, which of course, with the right management would excel I'm sure.
One thing I haven't researched or heard too much about is the opportunity for the Medina county area (next county south of Cuyahoga county). I believe Medina county was the fastest growing county by population in Ohio in one or both of the decades between 1990 and 2010... I need to check that out and see if multi-family is worth looking into there.
Cheers
Welcome to the area @Jason Weible ! I'm new to Cleveland myself. The map James wise put together is an awesome resource. I'm from Seattle and my first trip out the Cleveland I did nothing but drive around for a week straight looking at neighborhoods. Especially coming from a part of the country that doesn't really experience much blight, I was really wowed by how "block by block" Cleveland can be in some areas. You might find a great deal on a block surrounded by nice houses, but that one block has tons of blight and vacant lots.
I flew out from Seattle to see it for myself and that was such a good decision. Hopefully you're planning on coming out and seeing for yourself! I really liked the lakewood area and old brooklyn. Brooklyn is a bit rougher, but I can see it really turning around so it might be a good time to help make that happen. Since I've been out it Cleveland the last couple weeks, everyone I talk to is telling me how Tremont is the place to be for nightlife and such so that's another area. Also, I'm personally looking at properties around the waterloo arts district in north collinwood. That's another area that is really turning around and drawing a good crowd!
Hi @Ryan Evans !!
Welcome to Cleveland! Have you been through the Gordon Square / Ohio City districts on the west side? In which neighborhood did you buy your Cleveland property in?
my father in law and I will be coming to Cleveland in the near future for a visit, maybe I'll try to meet up with someone for coffee to discuss the start of our real estate venture there!
my father in law and I will be coming to Cleveland in the near future for a visit, maybe I'll try to meet up with someone for coffee to discuss the start of our real estate venture there!
Send me a message if you ant to connect! Good luck to you!
@Tom Ott Thanks for the offer, we just may take u up on that!
I am going to start working on some turnkey properties in the Cleveland Area, Need to know the good zip codes to look in and the good neighborhoods. Any advice would be appreciated!
Hello and welcome to Cleveland (market)
Always be careful when looking to invest here. There are people who will point you in the direction of East or West depending on which markets they work in. They will ignore many cities because they don't want you to look at them. Make sure to find someone/provider who will focus everywhere. Also, make sure to look into TRUE providers. Some "turnkey" companies will just use the MLS to find you a home that needs little work. A true provider will own the home and do all the work. This way you can hold them to what was done.
Some good areas could be:
Shaker Heights, Cleveland Heights, Euclid, South Euclid, Lakewood, Parma Heights, Bedford, Bedford Heights, Wickliffe, Willowick, Eastlake, Mentor, and Garfield Heights.
Feel free to send me a message with any questions.
I don't know if I could disagree more with this statement. A true provider works in full transparency with the buyer to provide the best service without charging a premium.
Being a south 'burb Cleveland local, I know the familiar rental spots that @James Wise has in the aforementioned map, and I think that is a great resource for sure! In the early-mid 2000's, I had a lot of friends that moved to the Lakewood area for the close location to their jobs in downtown Cleveland, and the cheaper rents than downtown, not to mention Lakewood has more bars per capita than any city in Ohio. Lakewood seems to keep the young and nearly established professional crowds coming in. Lots of neat chefie-foodie type of restaurant upstarts there too. ;0
I think the business model that James is sticking with on the "west side" of Cleveland is actually pretty smart. He is from there, and his people would know the community and the people. Ride that model til the wheels fall off.
For those not familiar with the personality and character of Cleveland, the city of Cleveland proper is split by the Cuyahoga River into the East and West sides. It's not quite a full fledged rivalry to our generation, but for our parent's generation, it was... in a fun, anecdotal kind of way mostly. That being said, in the 70's and 80's as families spread out from the city into the suburbs on either side of town, west-siders rarely made it over to the east side, and vis versa. (As a nearly lifelong resident of North Royalton (south-west side burb), I can honestly say I haven't been to the east side since the Feast of the Assumption fair in August. It's just one of those things, we have everything we need over here, and they have everything they need over there. It's not personal, it's business! :)
But, there are plenty of west side opportunities to go around, as I'm sure there are on the east side, but I'm sure James has his hands full with more than enough deals on the west alone. Perhaps he will one day start an east-side chapter of HoltonWise, which of course, with the right management would excel I'm sure.
One thing I haven't researched or heard too much about is the opportunity for the Medina county area (next county south of Cuyahoga county). I believe Medina county was the fastest growing county by population in Ohio in one or both of the decades between 1990 and 2010... I need to check that out and see if multi-family is worth looking into there.
Cheers
I am a life long westsider (Parma Heights), however work, invest and sell in both the east & west side. I believe there are lucrative investment opportunities on both sides of the town. Personally, I own rental properties all over Cuyahoga County, as my approach is to maximize an opportunity when presented (no matter the location). What I've discovered is that many realtors are only experienced to their specific location. Finding an experienced realtor who works and understands the vast Cleveland market (east & west side) is the best approach to fully take advantage of the many opportunities presented in this area.
@Account Closed
Most suburbs in the Cleveland area have a point of sale requirement. If a municipality has a POS requirement, that means the city requires a mandatory inspection prior to any sale. If the inspection finds violations, then they must either be repaired before title transfer or the buyer must be willing to assume them. In most cases, a buyer who's assuming violations is also required to deposit funds into an escrow account with the city in order to prove that he or she has the financial capabilities to repair the violations that are being assumed. Once the city has verified that the violations have been corrected, the funds are then released.
There are pros and cons to this arrangement. This is done to help ensure that properties are properly maintained and that the cities aren't overtaken with blight. It can be a nuisance to investors because it's extra regulation that must be dealt with and extra cash that needs to be raised. Whether this is a good or bad thing is a matter of opinion and depends on your perspective.
Hi @Ryan Evans !!
Welcome to Cleveland! Have you been through the Gordon Square / Ohio City districts on the west side? In which neighborhood did you buy your Cleveland property in?
Cheers @Roger P. I haven't been through that area, though I've gotten a lot of recommendations to check out Ohio City. Seems to be another one of the trendy up and comers.
I got a property just a couple blocks from the Waterloo Arts District. Everyone I talk to tells me how quick this place is turning around so it looks like it's turning out to be a good call. With the renovations I'll be all in at around 32k on a 2000 square foot, 4 bed 2 bath duplex. It's not ready to go yet, but I'm already getting offers of around $550 a month for each unit.
@Account Closed Point of Sale inspections take place by the city and must be done in order for the title company to transfer title. Some cities do not have them, most do. Some are just a sewer-dye test, some are far more comprehensive. Check out this recent thread for more info.
@Jeff Brower thank you. Is there a fee for this and if so who is responsible for it the buyer or the seller? Thank you.