I'm an investor interested in investing in Philadelphia area. Looking for properties( move in ready or just cosmetic issues- to start with while I get experience) with atleast 8% ROI with 20% down below 250000$. Is this doable in the Philadelphia market?
Thanks in advance.
Hey Sridhara, welcome to Philly! I would say it's definitely doable but also depending on areas and deal by deal. Philly's properties are pretty affordable and gives you great cash flow, especially in areas that are developing (Darby, West Philly, North Philly...). Are you looking for a flip/ rental?
Buy and hold , sfr- 4 units with 10% forced appreciation in b/c neighborhood with roi atleast 8%
@Sridhara Sastry yaddanapudi , I see. It seems those are pretty safe investment and gives you good cashflow. But be aware that it'll cost a ton of money to invest in b/c neighborhood. You can find room for a high appreciation in those areas, but it's tricky because Philly real estate is based a lot on block by block.
@Sridhara Sastry yaddanapudi definitely doable. Philly is great because you can sometimes even find those numbers on the MLS. Not as common is recent years. But all in all, there are good deals in Philly. From Fairmount to Allegheny West you can find good returns in North Philly. Fairmount/Brewerytown are more competitive now. $250K is a good budget that will get you far in many neighborhoods
Thank you 😊
@Sridhara Sastry yaddanapudi In North Philly I believe this is totally achievable, however might be a bit hard to come by. North Philly specifically near Temple University you will see more appreciation then the rest of North Philly just due to growing student population. You should be able to generate good cash flow as @Victoria Pham was saying