All Forum Posts by: Marisa R.

I use "guys"  frequently, referring to both, (male and female). I don't take offence whatsoever, however I never realised this could offensive to some. I will pay more attention in future.

Perhaps in future I will use..... gals and guys or folks

Interesting though I recently had a women contact me via a personal message on BP, stating that she is  intimidated by the male investors on this forum. I think forums are a mixed bag and everyone has something to share, just have to get outside your comfort zone.

For the fellow investors interested in Detroit...

Detroits Best areas

• University District
• Green Acres
• Sherwood Forest
• $500,000 to $1,000,000 homes
• 4-5,000 square foot homes
• Near Downtown
  • Boston-Edison
  • Corktown
  • Midtown Woodward

Hot Areas  NOW

• Stick to the west side
  • Rosedale Park
  • Grandmont
  • Aviation
  • Bagley
• North
  • University District (flippers are buying homes for $100-150K and selling them for $200-250K
• 6-7 different zip codes they like to invest in
• Few small pockets on the east sides in
  • East English Village area
  • MorningSide
• Values have increased significantly
• Certain downtown areas are also hot areas to invest
• $100-300 per foot

Like this thread and insight from fellow investors.

I have been posting some of my deals, including a recent flip.

Have been sourcing foreclosures/distressed properties. Suburbs like Bagley next to University District has taken off, there are other aspirational suburbs. You can offload these in good location for $150,000.  

Its a mixed bag requires strict criteria when selecting location. 

Cheap does not necessarily mean the hood...…. you just need to understand where to buy and what to buy and get it well under market value... is key.

@Brian Ploszay

Sure, I get this, but it is a much higher entry point it wont cash flow and of course it has already taken off.

What I have found from my personal experience is when markets start to rise it will impact on most suburbs even lower entry. This happened in Atlanta and now seeing some up and coming neighborhoods like Bagley going gangbusters....

Bring it on I say

Hi All

This is my latest purchase  in Rouge Park, Detroit, a desirable location.

Posting this thread will  give you all an indication on just how HOT this market is. 

This house is just an average home but it is pretty much rent ready.

This property went down the road of highest and best, with 14 contracts.

I secured and closed on this yesterday.

Purchase Price - $38,000

I expect rental income will be somewhere around $750-800 per month.

On my calculations/numbers I expect approximately 14% net returns. Not planning to sell as I expect appreciation to work its magic for me. Don't you love rising markets.

@Johann Jells

I agree. However, in saying this its all about timing, not time in the market... that's my personal experience, but we all have different strategies that can work.

Atlanta started in 2011 and still hold properties here, buying at rock bottom in bread and butter areas, not war zones. These property purchases were at around $35,000 renting at $1000 in 2011, today fast forward..... average price $170,000 (SFH) and renting for around $1400 per month

Today, finding another market to provide opportunity... Detroit... yes ... many will poo poo this, they did so when I jumped into Atlanta. What is crucial is location, product and property management.

Detroit is actually a rising market, with big money coming in. Smart money is now jumping in. Anyways not here to convince investors what to do. But keep an open mind, its not black or white.

@Johann Jells

I guess its different strokes for different folks.

I want cash flow from day one as I want the income. 

I understand you are using the power of leverage and in 15 years paid for, but it wont put money in your pocket today.... 

Generally I look at around 12-15% net on my money. 

@Duriel Taylor

Hi there

I have been posting quite a lot about Detroit, I am pretty excited about what I am seeing in Detroit. Good market for flipping but also for buy and hold. 
What we are seeing now is a market that is starting to rise.

However, you still need to be very selective on what you buy and where. Inventory is starting to tighten and big business is coming back. If you want to learn more I have a couple of deals I posted. One of my deals is a flip, which I plan to continue to post in stages.

This was my first post on Detroit

https://www.biggerpockets.com/forums/55/topics/619388-detroit-the-come-back-kid

Many options, I guess it comes down to your strategy and your risk appetite.

If you have seen significant growth in this market, and the rental yields are not attractive, one option would be to sell out and reinvest into another market with higher rental returns, alternatively  1031.

Another option access the equity and plough the funds into another asset class with higher returns. … ie stock market?? 

Also look at perhaps ways to increase income on these properties ie Airbnb.... OK this is not passive investment, but looking outside the square.

Reducing debt and increase cash flow is not a bad strategy. Sell 2 pay off 1. Yes, not sexy, but it does reduce risk

Its very simple the numbers need to stack up. Rentals must be cash flow from day 1. Covers all expenses

Here is a iink that may interest you, one of my recent cash cows. 

https://www.biggerpockets.com/forums/311/topics/624369-my-little-cash-cow-in-detroit