All Forum Posts by: Jad Boudiab

@Maurice White It's too late now, but you should have your offer contingent on reviewing leases and getting estoppel agreements signed, as well as other things that protect you when things arise and rents are not what they had previously been stated to be. I don't do this often for my investors who seek a duplex, but definitely a must for anything 4-units and more.

Your agent should have advised you to include such terms, as well as provided you with property taxes and approximate utility expenses in that area. If your agent isn't performing, maybe look for one who works with investors on a regular basis. Knowing Maple prices, you should cash flow just fine even if current rents were a bit under market rents.

You can cover your end with getting the estoppel agreements signed. Don't back out if the tenants cooperate and sign, they're held responsible for writing in the correct information.

If you really need to back out, Maple Heights has a point of sale system which requires you and the seller to agree on assumption of mandatory repairs that come up on their inspection report. You can use that as another way to break away from the contract.

Looking forward to meeting all this evening.

Originally posted by @Joel W.:

@Andrew A. I did something similar although I did it by begging for military orders here. We've been here in Cleveland for two weeks now. In addition to REI I have a professional motivation to be here.

Differences: The value of the dollar goes a lot farther here. People get paid less for the same job here, but they can stretch it farther. The housing is a lot different, a B class neighborhood here might look like a C or even D class neighborhood to someone moving from Seattle or the bay (I've lived in both) but the neighborhood definitely has A and B class people living in it. Those are just my first two quick thoughts.

 Great input Andrew, welcome to Cleveland. You'll find that Northeast Ohio has a lot to offer.

One thing to point out on the difference in neighborhood class is the age of neighborhoods. Cleveland is an old city and you'll definitely notice that by looking at home ages. Many C grade neighborhoods here are filled with homes built in the beginning of last century. even B grade neighborhoods like western Lakewood will have homes and multifamily dwellings built during that same period, but much of that area has been well-kept and now provides a nice classic décor and look.

As you stretch out further in the suburbs, you'll be able to find B grade properties built in the 50s and 60s, and further out in A grade cities like Avon Lake, Strongsville, and Westlake you'll find new builds and homes over 4,000 sq. ft. that have been built after 1995. The good/safe investments fall in the B grade neighborhoods, the lower grades have lower class tenants and the new builds will never rent for amounts that cover your expenses, unless you're Airbnb'ed them for the Republican National Convention, then that's a different story :)

Enjoy exploring the new city! Feel free to reach out to talk more about the area and the investment opportunities here.

Welcome Nick Ferguson , see you around the site.

Welcome to the site and the NE Ohio area Patsy.

Achraf El Churafa Garfield Heights and neighboring cities have a point of sale system which requires you to pass mandatory city inspections or buyer and seller agree on who assumes what repairs prior to title transfer. Many investors shy away due to this, but there are many singles family and duplex to be purchased there at ridiculously low prices. I personally like the southern half of Garfield, from McCracken Rd and down. That's a true rental area and falls as a C grade neighborhood. The further north you go, the closer you are to East Cleveland and that's an area I would never touch. This applies for Maple heights as well. Good luck, PM if you'd like to discuss more or get access to deals in that area. Cheers

https://www.biggerpockets.com/blogs/4704/42419-cleveland-neighborhood-grades Check the link, you'll find the map mentioned above. Many out of state investors have found it very helpful.

@Isaac Taylor  Cleveland is a cashflow market, your investments should perform well if you've got the right team and invest in the right neighborhoods.

I don't recommend flipping Cleveland properties from out-of-state.

Reach out if you'd like to further discuss the market and certain investment neighborhoods.

If you're looking to househack the first investment, I'd recommend starting in a B grade neighborhood in cities like Lakewood and Parma. You'll have higher quality individuals as neighbors/tenants, and save yourself the higher risk of evictions and rundown and all things that can go wrong with most people's first investment in lower grade areas.

The podcasts and forum here on BP are a great place to start, try to pick up as much knowledge and info as possible before jumping in.

As far as C grade neighborhoods go, look into Old Brooklyn and Westpark areas of Cleveland. Make sure to give @James Wise neighborhood grade map a look, many investors have found it helpful.

There are many variables are play. The Cleveland area and suburbs offer many different neighborhood grades and asset classes. Are you willing to take more risk and invest in lower C grade neighborhoods or take a more conservative route and invest in B+ grade suburbs?