Please share your sugestions. Thank You!
@Ondrej Marimar we USED to manage a lot of this kind of product for investors like you. My advice: don't to it! It's an awful model that falls apart after year 2, 3 or 4. Why? The answer is turnover costs (different than repairs, vacancy, etc). 60k houses rent to C/C+ residents. The financial losses from bad residents and turnover costs even when they are perfect will F your model beyond repair. I have seen it happen to many a investor.
You want to buy 60k houses? Fine but wait till you can pick them up for 40k! Right now you're probably paying 60k for a house that's worth 40k. Bad all around my friend.
Get more educated on how true wealth is created in Real Estate.
All my sincerest best to your journey!
Thank you for your advice. I really appreciate honest advices like this.
I have noticed the market is up and prices high. I don't see appropriate CF difference in homes for 50K or 70K and more - the rent is almost the same. Even the areas of more expensive homes does not seem to be better ones. That keeps me to search for lower priced homes.
But I am ready to invest and I can't wait for correction to come, It can be years.
Where else would you advise me to focus if you think SFHs up to 60K are not rentable in this time? More expensive homes or multi-family?
@Ondrej Marimar thank you. For me and partners we focus on 200 to 300+ unit apartments where there's less risk, room for upside and consistent cash flow.
For you it most depends on your goals, time available, etc. Education is also critical. Pick your teachers carefully!
All the best man!