All Forum Posts by: Greg Potter

My turnkey experience has been very similar to that of @Paul Wurster 's, I too have purchased 2 properties in Memphis and have had similar returns. In three years of ownership I've not had any vacancy. One tenant turned over but they did so on good terms and the property manager had a new tenant in the first of the following month. I've had some minor maintenance bills here and there which are annoying but not out of the norm for rental properties.

I really enjoy the flexibility this model provides me. I am currently mulling a job opportunity in another city and what to do with my self managed property is a major consideration in this process while there is nothing I need to do differently with my out of state portfolio.

Welcome to BP @Corey Besner . I own a 2-family in the city and have studied the market. I have not looked into the possibility of flipping within the city. A good realtor can be extremely helpful as they should be able to give you realistic after repair values and also an idea of how long it should take to sell the property once renovated.

The lawyer group Schuh, Scott, and Wallace does a lot of work for investors, I would recommend you check them out.

@Account Closed , do you have any contractor recommendations from your time flipping here?

There are a lot of distressed properties but a lot of those are on the south side where I personally would not care to purchase. The north side neighborhood is a mixed bag, you might have some luck there. Tipp Hill, the University, and Eastwood are some of the nicer middle class neighborhoods. What has you interested in the Syracuse market aside from the availability of inexpensive housing?

Hello @Jordan Holt , as @Jim Wilson mentioned, our high property taxes put downward pressure on property values. The high tax situation is certainly not ideal but the low property values do provide an opportunity to get into deals with less up front money out of pocket which seems to fit your situation. Additionally the local market is such that you should be able to find properties that consistently meet or exceed the 2% rule. Having a high gross rental income as compared to property value certainly helps in dealing with the property taxes.

Welcome to BP @Jordan Holt , as you've already discovered this is a wonderful source of information on real estate investing and also a great place to find and meet with other investors. I am a big fan of the local zip code search (www.biggerpockets.com/meet).

There are some good opportunities in the city of Syracuse for small multi family properties, unfortunately the school system overall is not very attractive. Depending on the ages of your children some of the elementary schools and middle schools are quite good, you just need to pay attention to where each prospective property feeds into. Another nice thing is buying a multi family property to live in is not a life time decision, if you find a good deal on a 3 or 4 unit in the city it will cash flow even if you reside in one of the units, and you can save the extra income for the down payment on your next property which may be the longer term residence.

Taxes certainly should be a consideration when looking to invest, but not the only consideration. Taxes are one of the main reasons I don't think single family investing is very attractive in the Syracuse area. Hard to make the numbers work when 30-40% of your gross rents go cover property taxes. On the other hand the high property taxes in the area are one of the main reasons why the 2-4 unit properties are so affordable. $80k for a 4 unit that grosses $1750 a month can work even in a high tax environment.

The second 8 plex meets the 2% rule even after the repair costs are added in (rent 450*8 = 3,600, cost 42,000 + 135,000 = 177,000, 3,600/177,000 = 2.03%) so I think it is definitely worth looking into. I'd also suggest taking a deeper look at why the rental history for the one is stronger than the other. Are the areas comparable? Are they in similar condition? Is it just the case of one being marketed and managed better than the other? If you could get the second property cheaper than the first, spruce it up, and increase the rents to 475 or 500 then you may have a really good deal.

I own a duplex in Syracuse with plenty of off street parking. When I advertise I play it up like a big benefit, but for the most part I find that the properties on the other side of my street that only have street parking do just fine. My current tenant, as their apartment is on the front side of the property and parking is in the rear, actually parks on the street more often than off. I tend to believe that off-street parking appeals to tenants slightly higher up the economic ladder, but for many I don't think it is a big item on their priority lists.

I personally would only do off-street parking.

@Bryce Lewis welcome to BP. I have a duplex in my local market which I self manage and own two out of state SFH through a turnkey provider so I have some experience in both worlds. I can tell you that I am quite pleased with the company I have done business with and I do believe turnkey is a very valuable investing model for certain situations. I am getting good cash flow with very limited effort in the out of state properties.

Like every other industry there are great providers and there are miserable ones so the key is finding a team on the good side of the scale.

I would not suggest waiting to invest until you have returned to the states, especially if you have the ability to get going now and you don't have a time table for your return.

Hello @Thomas Jackson , I know that the following practice does closings for out of area investors as well as eviction services in Syracuse NY.

Schuh Scott and Wallace PC - 315 469-3246

Hello @Account Closed , I live in upstate NY and own property in state that I self manage as well as property out of state with property managers. There are benefits to both models. The key to out of state rentals as others have said is good property management. Like any other industry there are great companies that are very professional and there are sloppy companies that barely keep it together.

Let me know if you have any questions that I can address.