Analyzing property in New Haven County CT
Hi,
I'm a new investor in the New Haven area. I've ran the numbers on probably 20-30 properties in New Haven/Hamden today, analyzing them first by the 2% guideline (1 months income/purchase price >= 2%) before going any further. I only found 1 that came close to the criteria and it was in an area of New Haven that I definitely don't want to invest in (high crime, high vacancy, low appreciation etc...) I'm wondering if maybe the market in CT is too expensive for that rule to hold true or I should decrease the purchase price I use to be a good amount lower than the asking price...? Maybe I shouldn't expect to get any more than that? Any advise would be appreciated!
Most Popular Reply
I haven't really seen your properties so I can speak specifically, However, part of being a good investor is being disciplined, and that accounts for the dreaded task of analyzing a bunch of properties before finding the right deal. Of course areas with high vacancy = higher risk = higher returns. Its all a calculated risk really but be patient something will pop up.