Which zip codes in cleaveland & Columbus OH that are great to start investing in

Question

I want to start investing in out of State properties especially in Cleveland and Columbus, OH. Just want to know which zip codes in these cities that are great to start investing in, and that will produce better cash flow.

Evan Hopple · Answer

@Mariama Thulla43204, 43223, 43222, 43211, 43213, 43227 are the top cashflow zips in Columbus

Patrick Drury · Answer

@Mariama ThullaIn Columbus, I recommend areas like Hilltop, Linden, Eastmoor/ Whitehall, and Franklinton. These are areas where you can cash flow in Columbus because the rent-to-price ratio is favorable. Out of these areas, Franklinton and Linden are seeing some of the most developments. With things like the ONE Linden plan in Linden, which is a 50M plan to improve the neighborhood. Of that 50M, 25M was allocated for the construction of a new recreational faculty that has since been completed. Franklinton has been seeing lots of developments like the completion of Gravity Phase 1 and phases 2 and 3 on the way. As well as coffee shops like Bottoms Up Coffee are moving in and small microbreweries like brew dog and land grant.As for Cleveland, I would recommend being in areas on the West Side of Cleveland like West Blvd, Cudell, Old Brooklyn, Clark Fulton, Edgewater, Jefferson, and Brooklyn Centre. The reason is the rent-to-price ratio is good so you can cash flow, and most of the West side doesn’t have a Point of sale inspection which is really annoying.

Remington Lyman · Answer

Any C class area in Ohio has solid cash flow. I can send you a map of these

Nick Virovec · Answer

Hey @Mariama Thulla, I saw your post and wanted to offer some insight on Cleveland since it looks like you have a lot of good info on Columbus. Our investment strategy has taken us to the near west side of Cleveland, particularly 44109, 44111, and 44102. The drivers for us are limited supply and cost of living is affordable - we feel this mix allows us room to grow rents. It doesn't happen instantly but much like the appreciation in our market, we see it consistent and steady. As someone that focuses on property management, we see steady and consistent demand for rentals - from studios all the way up to Single Family Homes.

Robert Ellis · Answer

I thought I'd add some data to this forum so it helps. Cost per door for new construction suburb walk up 3 story or 4 story apartments is $150k a door. I encourage investors to look less than 120k a door. For the sake of this, I pulled all the single family homes, aka "1 unit" or one dwelling unit", and the following is the info by number of houses sold in that zip code under 100k. This should help for cash flow investors in columbus. For the sake of this data I only did places that sold 20 SFRs in that zip over the trailing 12 months: 43302 - 12843211 - 10143130 - 6243223 - 6143204 - 5543207 - 4943055 - 4843224 - 4543160 - 3343050 - 2943219 - 2943701 - 2843138 - 2643113 - 2343123 - 2143228 - 20Some of these are close to columbus and some are bedroom communities where the cost of real estate is much lower than in Franklin county where the majority of columbus sits. Just a good starter to look at.

Robert Ellis · Answer

don't sleep on the bedroom communities around columbus in general. areas within 30 minutes of columbus. Newark. Lancaster, Johnstown, Marion, Marysville, Springfield, Circleville, etc. These places are growing and are a little easier barrier to entry than columbus and less competitive. I wouldn't go anywhere outside of 45 miles to downtown columbus

Steven Foster Wilson · Answer

It's not about Zip codes, Cleveland is too street by street for that. For example 44104 has A, B, C, D and F neighborhoods. Thats why its better to go by neighborhood and have a local boots on the ground guy to help identify which side of the street is better etc.

Marc Rice · Answer

In general the B-/C+, C, and C- areas will have the only chance of cash flowing. I'm happy to share over a more detailed breakdown of the Columbus zip codes and rent/price estimates.

Mariama Thulla · Answer

Ok. Will definitely contact you. Thanks

Jimmy Lieu · Answer

Hi Mariama, I personally love Columbus Ohio, specifically Linden and Hilltop area! As someone who works with a lot of out of state investors - there's so many catalysts for why you should invest here. Specifically, there's job growth (Intel, Honda, Amazon, Nationwide, etc) and the population is growing (unlike Cleveland or Cincy). I really see Columbus Ohio as an extremely safe bet for the next 10-20 years. Plus, there's still so many positive cash flowing and 1% deals here in Columbus Ohio. As a local investor and agent here in Columbus, let me know if you have any questions or want to connect!