All Forum Posts by: Randy Charboneau

FORBES - BEST PLACES TO INVEST IN REAL ESTATE 2016

This is why.  That article caused a FIRE STORM of investors to flock to Grand Rapids and buy up lower priced single family homes left and right.   Property managers have never been busier here.  We had a huge influx of out of state and out of country money come into this area and have a bunch of absentee landlords.   The funny thing is, because of the housing shortage, the rental market is very strong and we have extremely low vacancy as well.  Grand Rapids has never really gotten into the skyscraper condo market and its a very friendly place for immigrants.  We have a very diverse demographic population here and it continues to grow.   There is no bubble here.  This area is lagging far behind the rest of the nation.  What is happening is we are starting to catch up and people are buying on the upswing.

@Matt Burr - I can't comment on the Kalamazoo market.  I'm not working that market hard enough to have a good feel for it.  I can tell you that Muskegon is a much more stable market and about a 30 minute drive from Grand Rapids.  Muskegon has quite a few areas where property values are depressed and GR investors are making their way over to the Lake Shore to take advantage of that since Grand Rapids has gotten so crazy.  Its not uncommon to pick up a home for $30,000 there and put a few $$ into it and flip it for $50K-$60K.  Rental rates run about $300-$500 per unit and picking up 3 bedroom homes in ready to go condition that produces instant cash flow is pretty simple.

Hello Matt!  Grand Rapids is a very hot market for sure.  We are currently experiencing a housing CRISIS here!  Our inventory has never ever been this low.  We are under 30 days of inventory for properties under $150,000.  (In other words, if seller's stopped listing houses completely and buyer's keep buying at their current pace, we'd be out of homes completely in less than a month!).  That means we have way too many buyers and not enough homes.  I recently listed a foreclosed home for $80,000 that had 138 showings, 40+ offers and sold for $120,000!  This is a fantastic market to grab some buy and HOLD properties.  The appreciation here is exploding and if you pick off some properties on the fringe hot areas, you're likely to make a killing here in a couple years.  If you'd like to get involved with this market, let me know and I'll do what I can to help!

Pretty sure I can get you that kind of cash flow in Muskegon, MI. I have TWO 4-units right now over there around $100,000 that are kicking out around $2,000 a month each. 50K down on each would leave you a balance of 100K for the pair and a payment around $1,000 for PITI should net you the $3,000. Message me if you want more details.

If you are an investor in the Grand Rapids market, its important you understand what is happening here.  We have a historical shortage of inventory here and the demand is quite strong for housing and rentals.  What this has done is turned this market on its head.  We have hundreds of people looking for a home and can't find one that suits their needs.   This is causing pricing to sky rocket in several areas and investors who are not keeping up are missing out.  You can literally just buy a home, make a few repairs, sit on it for a couple of months and flip it for several thousands over what you bought it at!   I just listed a home 2 weeks ago for $80,000 in a NW area of the City of Grand Rapids.  We had 138 showings, 40+ offers and it sold for $120,000!  There were several agents who sent me feedback on this home and said we priced it TOO HIGH!!  There are agents running around in this market who have no clue what is happening and advising buyers/sellers incorrectly.  If you are smart and working with the right agent, you can make a killing here right now.   If you need help or advice, feel free to reach out to me and I'll do what I can for you.

Hello Jordan! Welcome to BP! You can still do very well in Grand Rapids, but you have to be working with the right agent who has access to properties that might not be on the MLS or who is very knowledgeable of the market and can help you reach your goals with a sound strategy. I'm a listing agent for HUD, REO Companies and Kent County Land Bank tax foreclosures and I have access to these properties and can help you find what you need. Feel free to contact me if I can be of help.

As far as lower priced properties, the Muskegon Market is still quite depressed in some areas and can return very nice profits.   I'm seeing very nice Cap Rates over there and picking up a nice 3 bedroom home under $30,000 is quite easy.

excellent!  looking forward to it!

Are you an investor or flipper in the Grand Rapids area? Have you secured a foreclosure or REO flip and are ready for the dirty work of renovation but struggling with funds, or sub contractors, or a variety of issues? You might want to consider a "wholesale flip". What you have is control of is an asset and your goal is convert that asset into profit. Typically on a flip, you make repairs and sell at retail for profit, but there are many HALF costs you will incur (Holding, Acquisition, Liquidation, Fix-up). These can be risky and sometimes there are hidden problems you don't discover until you start tearing things apart. On a "wholesale flip", you simply sell your asset 'as is' to another contractor and let them take care of all of that. You make your $$ quicker and have less risk. Now, because of the reduction in risk you also will incur a reduction in "potential" profit. You have to make the resale price attractive enough to a flipper to get them to buy the asset from you, but its quick easy money.

Another option is to get a property under contract and then simply 'ASSIGN' the contract to another party for a fee.   In this scenario, you don't even have to close or come up with any initial funds.  You simply negotiate your deal with the seller and include the appropriate language and then find another party that loves the deal and will pay you to take over the contract and terms.  Very easy money.

If you are interested in either option, please contact me and I can walk you through the steps.  Also, if you have a property in control I can hook you up with buyers of wholesale properties and assignments.

Hi Brian,

Are you working on a flip?  I might have some options for you in regard to contractors and renovation.   send me a message

One of the options to consider is a wholesale flip.  We're in a strange market in GRAND RAPIDS where there just aren't enough homes to purchase and too many buyers.  This includes contractors and investors who have the funds and are looking for money making properties.   Let's say your goal is to clear $20,000 on this flip.  Why not just sell it to a contractor now for what you have into it plus $10,000 and get your profit and walk away.  Let someone else worry about the repairs and funding.  I have people who would do this with you if you're interested.