First time investor, looking for guidance on good area around RTP

[Pradip Chavan]

Hello you fantastic people,

I recently joined this forum and it has been overwhelmingly supportive. I am also starting formal learning for RE license exam.

Wanted to request some assistance in knowing good / emerging areas for my first investment property (3/4Bed) costing 100-300k with decent possible cash flow. I am considering using HELOC from current primary home in south Carolina. Cary area is way too costly for me but I am open for Winston, Greensboro, Asheboro, Garner etc but I don't have deep insights there.

So far I am relying on Zillow, Redfin only to find properties so also wanted to check what are other reliable local / online MLS sources to look for prospective properties.

Lastly, i would love to ask questions, learn and progress with seniors  here. Always looking to collaborate with new comers like me.

Thanks a ton.

Pradip

[Cory J Thornton]

@Pradip Chavan - 

If you are investing for cash flow, then you will likely need to leave a decent amount of equity in a deal if you are targeting things within a 20 minute drive to Raleigh or Durham. These areas are rapidly growing and seeing good appreciation, but the rents have not caught up to support the price. These are towns like Garner, Knightdale, Wake Forest, and Youngsville. 

Cary is one of the highest average household income areas in our market. If you find something for $300k with three bedrooms in Cary, it may not be livable. 

If you are willing to expand your geography to a 45min - 60min commute to Raleigh or Durham, then you can get properties with much better returns, but you are trading location. Personally I think there are a few town that are still under value a little so you may be able to land appreciation and get cash flow leaving less equity in the deal. Places like Kitrell, Wilson, Rocky Mount, Roxboro, Sanford, Oxford, and towns with a similar radius are all interesting places to consider. 

Personally, even though I am a licensed agent, I frequently use realtor or Zillow to run searches. Our local Triangle MLS does not always get access to things in places like Rocky Mount, Wilson, Littleton, and other outlying areas.

Best of luck on your real estate investing journey! If you are in the Raleigh area, Triangle Real Estate Investor Association meets next week on the 8th in Raleigh. It's a great way to connect with a ton of local investors all at once.