All Forum Posts by: Marc Rice

@Nicky Reader

I remember they had mentioned only being able to collect 50% of months rent as security deposit, I guess that changed. Interesting they’re changing that for 5+ unit owners, I assume that means 5 in the same building for commercial.

I could see this increasing the quantity of small claims cases and hurting problem tenants even more if the proper security deposits are not collected on time.

Regarding “source of income” does that affect screening on employment I.e. restaurant worker OR is that completely overruled now?

Overall not a drastic change here and it should increase protections for tenants.

Raleigh is very hot as well, Columbus has seen pockets of extreme appreciation.

@Mitch Hankins

Have you talked to any local agents or brokers in your market who are also investors and may have access to off market deals? I would caution moving far away just for cash flow when you can usually always find something in your back yard if you dig deep enough. I know San Diego is very tough though with the lack of multi family available.

I would say Columbus, Ohio but if you’re a so cal guy it could be a bit of a acclimation although I do know people who have moved from Cali to househack in Columbus and now have bought 10+ rentals in the past 6 months.

It really comes down to your lifestyle desires and what you’re willing to sacrifice.

@Puja Devi

Out of state in the Midwest you’ll be able to find homes under $200k that make good investments that would be ok with the $50k you have for a down payment at 25% down.

The Columbus market is hot but it’s great for cash flow and appreciation. If you’re looking for no appreciation at all and the lowest possible prices I’d recommend other markets like Detroit, Dayton, Cleveland.

When investing out of state it’s important to have a strong local team of an agent, contractors, property managers, and lenders.

@Arisbel Martinez

Columbus, Cleveland, Cincinnati, Dayton, and Toledo are the markets most investors choose from due to their population size. Overall you can find $50-90k duplexes in any of these markets, but it will be a lot harder in Columbus but they do exist off market.

@Michelle Apple

You can flip in almost any market, especially where the population is increasing. I’d agree with @Jay Hinrichs that it’s best to invest where you have a competitive edge, experience, or feet on the ground - especially when starting out. If you’re looking just for buy and hold rentals I think it’s a little different but similar.

For my Columbus, OH market, it really depends on which neighborhood you're in (A,B,B-/C+,C,C-) and property condition in my local market. 1% rules in C to C- neighborhoods are standard deals where in B-/C+ its closer to 0.9%. In A to B it is very hot and closer to 5-6% cap rates which I wouldn't buy but many people do to park their money with appreciation.

My criteria is a little bit stricter because I have better access to deals off/on market. I like minimum 1% rules in A, B, B- neighborhoods.

Columbus, Ohio offers great cash flow and appreciation for rental properties. You can find some good turnkey properties here but will have trouble finding 1% rules that are turnkey in decent neighborhoods.

@Brittany Wasmus

It’s all relative to your local market and what other properties you could buy. This is below a 1% rule and once you factor in taxes and insurance your monthly payment will be a lot higher.

The reality is you could learn a lot from this property and even if it doesn’t throw off cash it could get you started in the game which is invaluable

@Allie Foland

Could you find a deal off market via cold calling and pay yourself a 6% commission and have seller pay closing costs and use your husbands W2? That would only be 14% down if it’s a 20% down loan