New to Real Estate · Las Vegas, NV · Member since 2018 · 14 posts · 4 votes
I’ve recently been looking into multi family properties in Cincinnati and i came across something that caught my eye. I know very little about multi-fam at this point and just as much about Cincinnati Ohio and I may have over looked something here.
3750 Warsaw Ave
Cincinnati, OH 45205
http://www.loopnet.com/Listing/13471953
Could any of you give some advice on whether or not to move forward on this? Thank you
@Vincent Salviano the numbers might look great, but I'd really look into the Price Hill neighborhood some more before making a decision. Crime is pretty high in the area and there are definitely warning signs that this may be a warzone https://www.trulia.com/real_estate/45205-Cincinnat....
@Todd Goodall thanks for the advice. I did check on Realtor.com and Niche.com for a little more information on the crime and the neighborhood in general. There seems to be a bit of crime like you mentioned, but if those numbers are correct it may still be appealing. Again, with having not enough experience in that marketplace, I will definitely tread lightly. Thanks for the link too
@Vincent Salviano What a great looking building! Hope it all works out. Be extra thorough with the inspection and neighborhood. Check for any condos in the property as well. All the best!
I drove by that property few weeks ago. I couldn't tell you if the numbers work out, but area is definitely D.
Positives is that it's close to McDonalds, close to the newer Kroger (grocery store), and main street. Nonetheless, I stopped looking into it more due to the area being over my head. Price Hill may turn in 10 years who knows.
@Vincent Salviano, I actually was looking at a building right down the street from there. It's a rougher neighborhood, but we stood on the corner at 10am on sunday and saw women pushing babies in strollers, all different classes of people as well as a very active Kroger. I grew up on the west side of Cincinnati and have seen my fare share of things that make me uncomfortable, and this neighborhood did not have any of those feelings.
I would not be willing to bet my portfolio on it, but I would say the area is "headed for a better direction". 10 years ago, I wouldn't have wanted to stand on that corner for 20 minutes talking with a colleague. Reach out if I can help out.
@Yusuf K. and @Nick Vehr thanks for the input. After discussing the possible issues (turnover, vandalism, extensive property management, etc.) with @John L. I’ve decided to try some better neighborhoods for my first multi-fam.
@Vincent Salviano You made the right decision. I know people who have bought in Price Hill and have regretted it. Do not bet on appreciation and know that it is a huge challenge to find good tenants there. It seems appealing because the numbers are great, it's close to downtown, etc. It is not worth it. Especially if this is your first rental property.
Tough area and it's on loopnet. There are other deals in Cincinnati if you are looking for your first deal. Call some of the local MF commercial brokers.
@Vincent Salviano
I’ve had an eye on that property for a couple months and don’t think that area will be as quick to turn around as some others.
I copied a link to a property that sparked my interest since it’s close to campus and has NO STUDENTS as of right now. If anyone is from the area, there are tons of places and neighborhoods that you wouldn’t have wanted to buy In 5 years ago. Now I think Cincy has great potential. Do some research on UC and how quickly it’s freshman class is growing.
Those kids starting school this year will need a place to stay that is SAFE and CLOSE to class!
http://www.loopnet.com/Listing/611-621-De-Votie-Ave-Cincinnati-OH/13587468/
@Yusuf K. and @Nick Vehr thanks for the input. After discussing the possible issues (turnover, vandalism, extensive property management, etc.) with @John L. I’ve decided to try some better neighborhoods for my first multi-fam.
No problem, bro.
Keep in mind I am also a beginner investor so take what I said with a grain of salt. I was looking at this property as my first as well.
Nonetheless, Price Hill area is not the best area (still doesn't mean anything, if number work they work). Would have to consider making it Section 8 or buy and hold for only God knows how long. Cincinnati is weird, you never know which area will change for the better and when.
I Just know growing up here what areas have certain characteristics that would have to take into account.
e.g. I know city planning is trying to turn Warsaw Ave into a hot spot....even then, how do we know it'll go into fruition?
As others have said, Price Hill is a tough area. There are pockets that are appealing, especially near Primavista, but you really need to look block by block. There are other areas along the path of progress that are more appealing in my opinion.
These kind of posts are really helpful for newbies like me. The numbers look great but there are so many other factors to consider like the crime rate. Thanks for sharing and thank you to everyone who weighed in on this one!
@Vincent Salviano
I have nothing to add on this particular property, but when I don’t know a neighborhood/street I do a “virtual” driveby. I use googlemaps and go up and down the street and neighboring streets.
Someone mentioned a nearby college. “Walk” to the college with streetview in google and see what the walk would look like for a student.
Having said that, I stick pretty close to areas I know, venturing maybe a little out if something looks particularly good (aesthically and financially).
Also, be careful posting the exact address of properties you like, who knows who may be lurking on these boards looking to scoop a property out from you. I guess not a real concern for properties on Loopnet but if you find something more off-market.
I’ve had an eye on that property for a couple months and don’t think that area will be as quick to turn around as some others.
I copied a link to a property that sparked my interest since it’s close to campus and has NO STUDENTS as of right now. If anyone is from the area, there are tons of places and neighborhoods that you wouldn’t have wanted to buy In 5 years ago. Now I think Cincy has great potential. Do some research on UC and how quickly it’s freshman class is growing.
Those kids starting school this year will need a place to stay that is SAFE and CLOSE to class!
@Earl Hatmaker, This one was actually offered to me out of pocket a while back from a local realtor. I was intrigued being that I went to UC and was in sure of the street. The way it was explained to me was nothing shy of a home run.
Drove down there the next day and couldn’t believe it, it looked like an old motel in an area that I wouldn’t have ever wanted to be near when I was a student. And I still didn’t want to be there, I’m sure someone can make money off that one, but it wasn’t me. Did you end up offering on it? It seemed like it could be a money maker to the right team but was too much of a stretch for my capacity.
@Nick Vehr we actually focus on land tax foreclosures at this time. Right now we are heavily looking at MultiFamily but are still in the Dayton region until we expand our team!
I had a lot of friends that went to UC and I frequented the area often. This property is a only 2 blocks over from where a good friend stayed.
Were In the same boat!
This is for an experienced buy and hold team with private money. You’d need to completely gut the place and force all the tenants out to start marketing to students after renovations. Would be better for graduate or others that have seen the area changing the past few years!
@Michael M.
Thanks! I wanted to have some fun with the profile picture! And I posted the full address to get some accurate input and also I was leaning away from the property so it would bother me much if someone else were to offer on it, thanks for that advice though
@Adam Curry
These are a lot of great tips! I’ll definitely concider them. I’ll do some more research on the savings of each. I’m also curious on what the ROI could be on the coin-op laundry. Thank you
@Michael M.
Since I first posted this discussion I’ve actually been doing the “virtual drive-by” using google and it does help a lot with the decision making.
@Nick Vehr
I ended up passing on that as I do not have enough resources yet to deal with any potential issues the area may cause. I’ll still be keeping an eye on it to see if anything changes. Thanks