Toledo Ohio. Why is Toledo an investor friendly area?

20 Replies

I have been noticing that there’s a lot of hype on the Toledo market.

I’m looking for all information about the Toledo market. I’m about 50 miles away from Toledo and maybe I could help someone with something in someway.

What area are people buying in? Campus? Or just anything that fits 1% rule?

@Thomas Yourkiewicz - There is a great deal of information on BP about Toledo to help you understand its national appeal vs other cities, price, cash flow, and ease of entry are a few.

My biggest lesson learned in Real Estate in general is - whatever your niche, you will do just fine provided you specialize, create an offering that meets a need in the market, and stay the course when you have hurdles.

This holds true if you specialize offering housing to professionals who need high-end temporary housing while assigned to long term projects...medical facility rentals with nursing staff provided...and for every aspect of servicing the investing community (hard money, note buying, appraisals, etc) which gets you out of the landlord role altogether.

One sure way to fail is to constantly shift your focus and jump between cities, neighborhoods, or investments. 

@Thomas Yourkiewicz I am born & raised in Toledo but a newbie to real estate.

You will find investors around every corner. Washington local schools are popular where there is decent value for the price. South Toledo Beverly school area 43614 has been popular. Many continue to venture into the D neighborhoods of 43608, 43609, and 43605 where you can find a duplex for 20k.

You mentioned campus - you will get mixed reviews from different people I am sure on student housing in general, but I don't believe it's as popular with the out-of-town investors. Lots people have had bad experiences from student housing and vowed never again. Along with the hesitation of students trashing the place, the areas surrounding UT are tricky to navigate. I personally think that campus can be conquered if approached correctly with a different mindset and set of processes and procedures tailored to that segment, it's just a different animal. There is a good podcast on student housing but I forgot the number!

Originally posted by @Thomas Yourkiewicz :

I have been noticing that there’s a lot of hype on the Toledo market.

I’m looking for all information about the Toledo market. I’m about 50 miles away from Toledo and maybe I could help someone with something in someway.

What area are people buying in? Campus? Or just anything that fits 1% rule?

It's funny you say this as 5 years ago there where only very few investors interested in the Toledo market.

As inventory has all but dried up nationwide, folks are starting to look elsewhere.

And some of those "not so sexy" markets back in the day like Toledo are finally getting a tonne of attention.

I caution investors looking at other markets than the Midwest.

Prices seem high and deals are very hard to come by.

In such instances it's always good to have dry powder ready for when the tide turns.

Toledo in my opinion is still a safe bet since I haven't seen it recover anywhere neat to market highs of 2006.

Here are some of the key areas that we invest in and where all of our investors are buying:

  • 43606
  • 43607
  • 43609
  • 43611
  • 43612
  • 43613

I'm also attaching screenshots with outlines of the exact location within our target zip codes.

As with any investment or business.

It always comes down to finding and working with the right people.

The market stats/demographics don't work for you.

The right people do.

I hope the above helps anyone looking to invest in Toledo.

Much success to all :)

@Darius Ogloza

It would be super cool but my guess is that the big dogs are in there and taking every opportunity they can at slim margins with all the resources to make it happen. There are some vacant buildings and lots that could be developed but sometimes the old owners hold onto those until they get top dollar and you have to have a plan to turn it around. It's not my ballpark, pun intended, as a small-fry investor.

Dan

Thanks, Dan.  Over the past year or so, I have seen a couple of smaller commercial buildings come on the market that seem to be at tempting price points - 415 N Michigan (listed for $199,000) is a current example.   My mother in law lives near Toledo and my wife and I visit from time to time.  From my limited vantage point, gentrification downtown seems to be progressing - I just wonder which way the momentum is swinging these days.  Do you expect more improvement or do you think the wave of improvement is stalling/petering out?   

Originally posted by @Darius Ogloza :

Daniel/Engelo: what do you guys think about commercial opportunities in the downtown/Henville area?  

It's too expensive and their really aren't that many great deals to be had.

Single family are your best bet for great deals in Toledo.

The multifamily market is also at all time high's.

Be patient as the deals are always out there.

Just don't stop looking :)

question for you guys. how is the rental demands in the 43623 areas. ive came accross few potential properties. but not sure how rental demand is. ive checked zillow and seem to see the same properties "for rent" posted for over a month. is there is little demand in this zipcode even though its in a better area?

Originally posted by @Edwin Martinez :

question for you guys. how is the rental demands in the 43623 areas. ive came accross few potential properties. but not sure how rental demand is. ive checked zillow and seem to see the same properties "for rent" posted for over a month. is there is little demand in this zipcode even though its in a better area?

Zillow is a crapshoot mate.

It doesn't run accurate data un tertiary markets like Toledo.

43623 is the a prime rental market for Toledo.

Well rehabbed and well marketed properties will get tenanted fairly quickly.

Spend time in getting to know the area better and visit town multiple times.

Much success

Originally posted by @Omri Galili :

@Engelo Rumora

Thanks for connecting me to this forum.

In your opinion, from the areas that you posted here, which are the best for flip deals and why?

Thank you very much!

43623 would be the best to flip in.

I didn't post that zip code lol

The reason is because you can get top dollar from homeowners wanting to live in that zip code due to the school district.

Much success

@Omri Galili  

I would say that of the areas that Engelo listed, 43611 (Washington Local Schools), 43606, 43612, 43613 will likely be your best bets for flips.  You do still need to do your research regarding areas within the zip codes. 

I am currently doing flips in 43613 and in 43616 (Oregon) and am anticipating pretty good numbers on them both.  You can make many areas work as long as the numbers are good.  

Downtown Toledo is its own beast.  I would say that things are continuing to trend in the right direction, but it's a slow process for anything down there.  

@Engelo Rumora yes of course thanks i look every where i can for rental info i.e. craigslist, facebook, trulia, and even management companies websites from the area. Zillow is the first thing i go to but it is definately not the only. If i see too long of listings or not enough listing on zillow ill look in the other areas to verify the rental info. 

@Brian Garlington

All Toledo water accounts are in the owner’s name. 

You can have tenants responsible to pay for water/sewer/trash per the lease but if the bill goes unpaid and an eviction occurs then the owner will be responsible to pay the bill. 

Ultimately the city reserves the right to lien the property and recoup their funds via a foreclosure action if necessary. 

Awesome Info! Say can anyone refer me to a professional Toledo Ohio Property Management Firm. Have a SFR 3/2 with nice shop that will be ready soon which I need to get under property management. Thanks for any referrals
Originally posted by @Engelo Rumora :
Originally posted by @Thomas Yourkiewicz:

I have been noticing that there’s a lot of hype on the Toledo market.

I’m looking for all information about the Toledo market. I’m about 50 miles away from Toledo and maybe I could help someone with something in someway.

What area are people buying in? Campus? Or just anything that fits 1% rule?

It's funny you say this as 5 years ago there where only very few investors interested in the Toledo market.

As inventory has all but dried up nationwide, folks are starting to look elsewhere.

And some of those "not so sexy" markets back in the day like Toledo are finally getting a tonne of attention.

I caution investors looking at other markets than the Midwest.

Prices seem high and deals are very hard to come by.

In such instances it's always good to have dry powder ready for when the tide turns.

Toledo in my opinion is still a safe bet since I haven't seen it recover anywhere neat to market highs of 2006.

Here are some of the key areas that we invest in and where all of our investors are buying:

  • 43606
  • 43607
  • 43609
  • 43611
  • 43612
  • 43613

I'm also attaching screenshots with outlines of the exact location within our target zip codes.

As with any investment or business.

It always comes down to finding and working with the right people.

The market stats/demographics don't work for you.

The right people do.

I hope the above helps anyone looking to invest in Toledo.

Much success to all :)

 

Create Lasting Wealth Through Real Estate

Join the millions of people achieving financial freedom through the power of real estate investing

Start here