All Forum Posts by: Frank Rodrigues

Cleveland is a great market for multi's and cashflow fr low price compared to most, but you have to have a risk tolerance for holding these properties for at least 7 years for good appreciation compared to other markets. But if you are looking for multi-family units on the cheap with a consistent rent-only mindset then it's a good area for that. OH in general is a great cashflow market.

Hi Heidi,

I definitely recommend KC. Great market for cashflow and appreciation, especially for SFH's. I hope that helps.

I have a rental in Hallandale beach with HOA fees that cashflows well. It all comes down to the numbers, the market and the unit, it can work but make sure you understand the bylaws of the building when it comes to rentals because if it's not rental friendly (and many aren't) then walk away.

Drew,

I work out of the KC market and there are too many options in KC for the numbers not to "cashflow" with BRRRR and I see it weekly. If the numbers don't work then go elsewhere. I have helped quite a few people making sure the numbers are good and measuring twice and cutting once is what you want to do with every deal. I hope that helps and best of luck!

Jason, 

I would look at it this way. Why do people invest in the stock Market? Do you care more about what part of the country a stock is from or do you care more about the rate of return on that stock? That's the question you need to ask yourself. If you can answer that then you have your answer. I hope that helps and best of luck! BTW, KC is a great market to Cashflow if you like double digit cap rates and COC returns.

Wendy, 

If you can’t have an inspection of the place how do you know what you are getting? Unless you can do that you have no idea what you are paying for. Cashflow properties are great only when you know what your property is really worth and have a good relationship with the tenants, it’s not worth the headaches believe me! I would get those two issues resolved first before doing anything. 

Ohio, in general, is a great market for cashflow properties for both SFH and multi-units. Cleveland, Columbus and Dayton are all great so point and shoot brother!

Andrew,

The numbers you presented looks accurate but it's probably incomplete. What's the COC return? That's just as important to know as the cap rate. IMO, those numbers aren't great. I have a 14 unit in KC that cost less than half of your first property mentioned in an A class community with a 10.5% cap rate and 16.5% COC return. Now in the KC market a double digit cap rate and COC return is common place. I hope that helps and best of luck!

From another BP poster so I cannot take any credit. I’m glad you found it useful.  

Ignacio,

I would add KC to your list the cashflow and appreciation is great! I consistently see double digit cap rates and COC returns. I hope this helps and best of luck!