Best places for multifamily properties

[BARMZ]

NORTHEAST OHIO...NAMELY AKRON....THIS IS MY LOCAL MARKET. I HAVE AN INVESTOR I WORK WITH THAT WENT TO FLORIDA AND RAN INTO SOME INVESTORS THERE... HE TOLD THEM WHAT HE WAS BUYING IN AKRON, BUT THEY COULDN'T BELIEVE WHAT HE WAS SAYING... I KNOW HIS FINANCIALS.......HE BOUGHT A SFR IN 03' FOR $8,000. HE GETS ABOUT $600/MO. IN RENT.
 HE BOUGHT  A 2FAM. IN 02' FOR $30,000...HE GETS $550 DOWNSTAIRS--$500 UPSTAIRS.......
 I DON'T KNOW IF THIS IS SOMETHING THAT APPEALS TO YOU BUT I HAVE ABOUT 100 PROPERTIES CURRENTLY IN MY E-MAIL THAT RANGE FROM $0-$50,OOO FOR 3BDRM/1BATH. SOME NEED WORK, SOME DON'T.
 THIS IS AN AREA OF THE COUNTRY THAT HAS A HUGE "MAGNIFYING GLASS" ON IT.
 THIS AREA HAS BEEN EXPOSED TO A LOT OF "PREDITORY LENDING" INVESTORS IN THE RECENT PAST. THERE ARE ALSO A LOT OF "FORECLOSURE" PROPERTIES AVAILABLE PARTLY DUE TO THOSE "PREDITORY DEALS" THAT HAPPENED.
  THERE ARE DEALS OUT HERE, JUST TAKE A LOOK!!!!

[alexinsiva]

Hi BARMZ,

Can you clarify what you mean by THIS IS AN AREA OF THE COUNTRY THAT HAS A HUGE "MAGNIFYING GLASS" ON IT? Why is there so much focus on this area and by whom? The lenders?

[Mdhaas]

Most of the true "predatory lending" issues that we are facing in Ohio are in the Cleveland Market.  Ohio as a whole is monitoring the "high cost" loan arena.

Where are you at in Ohio, BARMZ

[commercial loans]

would try a few larger cities in southern states:
AL, GA, SC, MS

larger southern cities are allot cheaper than buying property in CA, NY,NJ

Example:

I have recently done a deal with a borrower in NJ he owns multiple apartment buildings and duplexes. A majority of his 4 unit duplexes appraise around 1.8 million with a rent coming in at $1,500-$1,800 per unit per month.
He has just recently acquired a few duplexes in Montgomery, Alabama. One 4 unit duplex/apt. in particular cost him roughly 460k. This rents at $735 per unit per month to tenants.

Of course you get half the income but yet he has alot less debt. on the prop.

[BARMZ]

MDHAAS IS CORRECT ABOUT THE CLEVELAND COMMENT, BUT I'VE HAD A BIT OF A PROBLEM WITH MY INVESTORS IN THE AKRON AREA.
 THE LENDERS ARE GETTING A LITTLE NERVOUS(AT TIMES) ABOUT INVESTORS. THEY ARE REALLY PICKING THE FINANCING APART...TO PROTECT THEMSELVES OF COURSE.
 I DO KNOW THERE ARE MANY DEALS OUT THERE. A LOT OF HOUSES TAKEN BACK ON FORECLOSURE!!

[lostnjax]

There is a lot of deals to be had in South Georgia just pick any city between Brunswick & Savannah this market is starting to pick up steam but you won't find a whole lot of multi-family. The same is true with Jacksonville, FL. People in south FL are starting to move up this way (tired of all the hurricane damage).

I also recently got a call from a friend of mine about the Cleveland, Oh area. He is picking up SFH's for 8k-15k and putting in very little work and renting his units for 500-600 per month. I just don't wanna go back into the cold weather anymore. :D