Lender · MD · Member since 2022 · 12 posts · 4 votes
Hello everyone,
Maryland Resident and Realtor, but I am looking to do Out of state LTR's. Seeing if Knoxville TN is an ideal location for BRRRR method? I would love to get some opinions on this, and potentially try to get a team together.. New to being a real estate investor, but I help investors here in MD as a Realtor.
Looking forward to the advice, feedback, opinions, and connections.
Lender · Los Angeles, CA · Member since 2015 · 184 posts · 92 votes
4y
Absolutely! I've done several BRRRR's in Knoxville and I think it's a great market for real estate investing. With that said, the BRRRR Method is getting harder and harder to make work on the back end especially with mortgage rates spiking and prices softening.
As a realtor you know that you can be successful almost anywhere if you have a strong team on the ground and access to sufficient information to make good decisions. We have originated loans in Kentucky and in less attractive places then Knoxville. We have found that it is neighborhood by neighborhood almost anywhere you go. That makes a strong realtor with experience in the investment space a necessity. I believe that the key to to success in the fix and hold space is purchasing below market value. That really requires a real estate professional who knows how to find good deals not just send you a link for the MLS. That person must also be able to give you an accurate after repair value!
Real Estate Agent · Maryville · Member since 2022 · 6 posts · 1 vote
4y
Yes absolutely! Tennessee as a whole has many opportunities in Knoxville, Chattanooga and Nashville. I believe you can find a brrrr off-market and hi value in the cities and surrounding territories.
Lender · Los Angeles, CA · Member since 2015 · 184 posts · 92 votes
4y
Absolutely! I've done several BRRRR's in Knoxville and I think it's a great market for real estate investing. With that said, the BRRRR Method is getting harder and harder to make work on the back end especially with mortgage rates spiking and prices softening.
Real Estate Agent · Maryville · Member since 2022 · 6 posts · 1 vote
4y
Hey James! I see your live in CA and I just moved from there. What made you want to invest in Knoxville vs Nashville or another state? Also what part of Knoxville have you been buying in?
Lender · Los Angeles, CA · Member since 2015 · 184 posts · 92 votes
4y
Hey @Zechariah Gawthrop! There's quite a few reasons but in short it was a great market for a combination of cash flow and appreciation. Nashville wasn't giving enough cash flow for what I was looking for. I saw the upside with what was going on in Knoxville with all the fundamentals and redevelopments taking place and saw the cash flow numbers still worked to where I like them all while being in a landlord friendly state. So far I've been mainly focused on North and South Knoxville areas and recently expanded out into the Maryville area.
Real Estate Agent · Maryville · Member since 2022 · 6 posts · 1 vote
4y
@James Allen Awesome! My family and I actually bought in Maryville because of the great school district and property values. It's a beautiful town and state. I would like to connect more with you in the future!
Lender · MD · Member since 2022 · 12 posts · 4 votes
4y
Thanks for the responses everyone! I think I am going to start doing alot more research for the Knoxville TN and Surrounding area.. I will be working on gathering a team together in the very near future.
Real Estate Agent · Chattanooga & Nashville · Member since 2022 · 36 posts · 14 votes
3y
@James Allen, Chattanooga is a great renters market as it has positioned itself as a startup and work from home hub in close proximity to larger markets like Nashville and Atlanta. I have had great success finding some BRRR opportunities in parts of town that are just waking up and starting to turn over with large development plans nearby and overall population growth. I actually have one I am selling right now. Our family firm has been based out of Chattanooga for over 30 years. We also have a satelite office in Nashvlle, where I lived for 4 years and still invest and help clients there. Would love to connect!