All Forum Posts by: Darrin Carey

@Jay Hinrichs  The price points here also directly correlate to risk, neighborhood, and property quality. Our price points are simply lower than the coasts. The spread between price points is also narrower.

Property crime is a big factor in D areas, and about 50% of C areas. Violent crime is pretty low, most of it happens between people who are already acquainted with each other. 

We're a smaller city, so even our "warzones" are reasonably safe to work in from a personal basis. Anybody from a big city would laugh at what we consider a "war zone"

The tenant base in the D neighborhoods have the usual problems. I still have a couple D properties, and I do have great tenants there. Tenant screening is absolutely critical. 

The housing stock in the C and D areas is older, mostly built in the 10s-40s. Structurally, most are in good condition. The rest depends on what's been updated over the years. Sometimes it's not much, sometimes I'm pleasantly surprised.

@Jay Hinrichs For comparison, in the Dayton area, new/nearly new construction A neighborhood might be 75k per door. Retail pricing for a good operating building in a C neighborhood, maybe 25k per door, less if you are patient. I can get a true 8+ cap rate in a B neighborhood (about 40k per door) with almost zero effort.

Just so all you west coast people don't think we're crazy, check out this Dayton Business Journal Article.

Dayton has an abundance of land, and no excessive building restrictions (like San Francisco for example). We also had a declining population until recently. That leaves us with a surplus of available properties. Good landlords do really well in our market.

The abundance of properties lets buyers make a simple decision (Beginners don't always understand this.)

• Why should I buy your run down property and invest a lot of money into it? 
• Can I can buy a similar property that's already in good condition for what it takes to fix yours?

With prices low, and the cost of rehab what it is, that leaves some properties with an actual value of zero. or less.

Congrats on closing @Omar Merced. Welcome to the neighborhood.

@Wendell De Guzman Fortunately, the property is not in an F area. It's one I looked at a few years ago. I was outbid back then.

@Omar Merced - lol. We can still meet up again while you are here.

Hi @Matt Pagano, welcome to BP. You've found a great community here. If you want to chat about the market in the area, feel free to reach out.

Hi @Doug Murphy, welcome to BP, you've found a great community. You're welcome to join us at our monthly networking event to meet other active local investors. Details are in the events forum here. @Omar Merced, if you're in town you're welcome to join us too.

This is the place to get to know other local investors and landlords in a casual environment. We're a friendly bunch of people; come hang out with us and talk Real Estate.

There are no formal presentations and no specific topics. Ask questions, start and join conversations. Explore your own interests.

You're encouraged to bring your deals and what you're looking for.

This event occurs monthly, and is currently on the second Monday of each month.

The next meetup is 5/9/16.

RSVP for the new location in Fairborn.

We will post updates below, and we will keep the link updated. Get full event details at the link below.

Event Details - Current event info and additional details are always here.

@Thomas Cheek A lot of people from California, other states and countries invest in Dayton Ohio for the current cashflow. To successfully invest out of state, there are a few things you need to do. 

• You MUST have a good property manager.
• You need to visit the area BEFORE buying your first property. An airline ticket and hotel area cheap compared to a bad deal.
• You need to identify the types of neighborhoods you are willing to invest in. Better neighborhoods, lower return (but still good), lower drama. Lessor neighborhoods, potentially higher returns, higher drama.
• You need to have some local people you can call when you need a hand, a property, or a referral.
• You MUST have a good property manager. (That's on the list twice for a reason.)

I used to be an out of state investor. Those were the key elements I learned the hard way.

You still need to do all the normal Real Estate Investing items as if you were investing locally.

Best of luck. Feel free to call if you want to chat about the topic.

Hi @Solomon Lavine. Welcome to BP, you've found a great community. We're full time real estate investors in Dayton, welcome to the fun.

Watch for the networking meeting in a couple weeks. It's a great opportunity to meet other investors.

Feel free to give me a shout if you want to talk real estate.

@Jesse Watts Give me a call. While we're not signing up to be a full-blown mentor, we will give you some help and guidance. You can come join the networking group to, lots of good people there.