All Forum Posts by: Matt J.

As we've all seen, the Colorado Springs RE market has gone crazy the last several years. With new business, tons of building and a highly rated quality of life, it is the place to be. I've even heard some people commute to Denver.

With prices so high north of there (seemingly all the way up to Fort Collins), it used to be a reasonable place to invest. However, that's changing in the current market. So, we need to look elsewhere for cash flow. It appears Pueblo still has some decent deals. Unfortunately, it hasn't yet caught up to the Springs in terms of services and it is still a bit isolated. What are your feelings about Pueblo (including West Pueblo)? Is is primed for development or will the CS market cool in the near future? 

@Natalie Wells, you already have some great advice here and I will try to add a bit to the conversation. 

First, @Vaughn K. is dead on with the numbers approach. In any investment, you really want to avoid emotional and convenience purchases. The best way to do that is to trust the numbers. Right now, most opportunities in and around Seattle just won't cash flow. Plus, looking at the historical cycles, you aren't likely to see much if any near-term appreciation buying now. So, you are better off looking elsewhere at the moment. 

I don't know much about the TX markets, but I can tell you there are still some opportunities in WA if you know where to look. @Megan Shay has a good point about the Kitsap area, but it's steadily climbing as well and you'll need to be strategic. You might look for a good partner who knows the area well. If you want to consider areas surrounding Tacoma, @Dion McNeeley would be a good resource. He seems pretty humble, but he knows his stuff and he's very sharp. 

Also, as others have mentioned, Eastern Washington still holds a lot of promise. I like the Walla Walla area for a variety of reasons. You might chat with @Tony Wooldridge. He knows it very well and is quite open with his experience. 

Best of luck in your search! Keep us posted as you move through your process.

Hi @Leland James and @Aaron Nelson. I'm happy to connect with both of you as well. You should come to the next meetup in Tacoma. I believe they're the second Thursday of the month. 

@Jevon Scott, we like the Springs too, but as others have mentioned, property prices are very high. However, @James Carlson has a great point about short-term rentals. You have the potential for greater immediate returns while you wait for equity appreciation or long-term rental prices to surpass your expenses. Best of all, Colorado Springs has year-round attractions in and around the area. There are very few 'down seasons.' So, that helps when planning for STR occupancy.

I wish I had seen this thread last year and bought a bunch of properties back then. It's only kept going down there. I hear people are even commuting to Denver from the Springs now! If they can only add that extra lane in each direction on I-25...

That said, if there are any brokers with some fantastic small MF deals down there, feel free to pass them along.  ;)

@Saad Handoo, it's not a bad idea. There are many people doing it. You'll need to do your research and talk to local pros and other investors. And @Account Closed who's already negotiated a discounted rate for management. Just do your research and always ask for and call references. That's one of the best ways to mitigate some of the risk, no matter who you're hiring.

Thank you for the follow-up, @Tony Wooldridge. You do make a good point about relative size skewing certain ratios. Regardless of statistics, I still see WW as a very interesting market with lots of potential. 

We do need to get over there soon - likely within the next couple of months. If possible, I will try to make it to one of your meetups (bravo for getting that rolling, too!).

Cheers!

And thanks to @Jameson Sullivan, @Isaac Schaefer and @Andrew D. West for hosting!

@Leland James, I just attended the Real People, Real Beer, Real Estate meetup last night for the first time. We had a solid group of people and lots of great ideas. They do it every second Thursday of the month. We met at the One Realty office on "I" Street, but I don't know if the venue will change for future events. Maybe @Jameson Sullivanor @Isaac Schaefer can speak to that.

@Aaron Nelson, I planned to join the Cascadia Investors Alliance in Lakewood, but they dissolved it just as I found it on Meetup. It seems to be a trend with events in the South Sound. Anyway, this one has a lot of potential.

It was my first time at this meetup, but I thought we had a great group. There were people from just about every part of the business and lots of good ideas flowing. I'm looking forward to the next one.