Cash flow markets versus decrease in population

[Ari Rubenstein]

Hey everyone,

I’m new here and are amazed from all the knowledge and contribution. thanks a lot for that.

I am an experienced investor out of the USA who want to expand and start investing in the USA and have a hard time to decide where.

I deed a lot of research of different areas including all the trend places with population growth (as Florida and Texas) but found that the cash flow is not good and I feel uncomfortable investing  after a big price increase and as cash flow is not unattractive…at the end i was left with places like Cleveland that is a good cash flow market and I’m sure it’s a nice city BUT…is a declining market with a decrease in population.

I’m looking for a cash flow investment (because my current out of USA market are good appreciation markets)  but not sure that investing in a declining market like Cleveland is a good idea. 

I also understand that i need to invest in good enough neighbourhoods so that the properties could be manage with a management company without a lot of problems and costs, so I thought to invest in good B neighbourhoods in Cleveland.

i will really appreciate to hear different opinions or recommendations.

Thanks,
Ari

[Joe Villeneuve]

The decline in Cleveland's population means nothing. That decline, from a REI perspective, doesn't impact every area of Cleveland. There are many areas of Cleveland where the population in that area has gone up. When you analyze a market, you have to analyze them based on the micro-market...not the macro. In the end, the numbers that matter aren't the ones with percentages behind them. The only numbers that matter are the ones where those percentages impact the dollars. So forget the percentages, and analyze the dollars...that is, unless you pay your bills with percentages.