Real Estate Investor · Monroe, OH · Member since 2008 · 17 posts · 3 votes
18y
I can't speak for all of Ohio, but I invest in the Greater Cinci area and have had no slowdown. Things are a bit slower on the retail end, but prices haven't really slumped as they were never inflated to start with.
On the flip side, I am buying better deals cheaper so I'm able to flip them at a slightly lower retail price and still make my same profit. They go quicker, and compared to whats on the market it works out great.
Same for rentals. Get a house bought and rented for 35-40K and make gross rent of 800-850/mo.
Real Estate Investor · OH · Member since 2008 · 1k+ posts · 86 votes
18y
Way too many homes to choose from in my area and the agents are now starting to point their buyers to HUDs and REOs. Best option is to buy and hold for rental.
Real Estate Investor · OH · Member since 2008 · 4k+ posts · 1k+ votes
18y
I'm not sure what the others are talking about, but the fact is that in the first quarter of 2008, the number of houses sold was DOWN 15.3% statewide as compared to the 1st quarter of 2007. The average sales price during the same period was down 7.8% to $132,005. In fact, the only two areas that showed a year over year increase in units sold were the Ashland and Mansfield areas. All other areas had a significant decrease, mostly double digit decreases. Only one area showed a sales price increase and again that was the Ashland area. Again, many areas had double digit decreases in the average sales price.
Sorry to be the bearer of bad news, but those are the facts. (source Ohio Association of Realtors)
However, I do agree with the others that this is a very good time to buy and hold IF YOU BUY AT A HUGE DISCOUNT; IF YOU UNDERSTAND YOUR LOCAL MARKET; AND IF YOU UNDERSTAND THE BUSINESS.
Real Estate Investor · OH · Member since 2008 · 1k+ posts · 86 votes
18y
The best way to describe my corner of Ohio is that you can drive around any block in this city and find 4 homes with realtor signs in the front yard and the asking price is about 20K too high. While right next door there is a vacant house with an orange sticker in the window and the glass broken out of one of the doors due to the bank Winterizer needing to get into the house. Next door to that is a vacant house with no sticker, because the homeowner walked away from house and the bank hasn't foreclosed yet. Block after block this is the case.
Right next door to my current project is a vacant house with no sticker, 2 houses with realtor signs and one across the street where the homeowner packed his stuff and left. This is not a bad area of town. 2 years ago these homes were selling in the 60's and 70's and now we can get them from the bank for below 20K.
I don't have enough experience to know what all this means for the future, but I keep telling myself and my wife that this has got to be a fantastic opportunity if I am reading the market and this city correctly. .
Real Estate Investor · OH · Member since 2008 · 4k+ posts · 1k+ votes
18y
I agree with you Tom. This is an unprecedented opportunity and along with that comes significant risk. The big question through this period of extreme housing and economic volatility will be whether the investor can hold the properties he's bought. Buying at a HUGE discount and understanding your local market is the best way I know to increase the odds of success.