Buying In a Vacant Area

[Kizzy Robb]

Hello,

I went looking at a Multi-Unit today. Well, I drove around in the area. I haven't did the numbers yet or set an appointment to see it. Before I do all of that I'd like BP's advice.

This unit is on a street where several buildings are up for sale. Several of these are multi-units and they are in need of moderate to complete rehab. The building I looked at itself is vacant and it sits directly next to another Multi-Unit that is vacant. The surrounding areas (2/3 streets over) are mostly occupied. The area has a nice park next to it. It is close to the interstate and public transportation.

I checked the crime rate for the neighborhood and it is fairly low. From the view of the area I'd say it's a C neighborhood.

My question (hopefully I've given a enough back story) Is what are your thoughts on buying on a block where there are other vacant buildings? What things should I take into consideration such as property value, etc?

I should say this would be my first investment.

Thanks.

[John Moore]

If your hitting the streets,I would talk to the Postman(woman), police who patrol the area and chat about the area in general. You will get reasonable good input if you approach the subject properly. People who live in the hood, see things differently than outsiders. If they have lived there long enought they are insulated. I would think you might encounter some difficulty renting if you are surrounded by vacant buildings. On the other hand you might used this as a reason to obtain a better purchase price. Food for thought.