Bellevue, WA · Member since 2019 · 7 posts · 2 votes
I am considering purchasing a first buy-and-hold rental in Raleigh NC, as I feel there is a great potential and current trajectory of the market in the area. Looking for a SFH in a budget of under 300k.
Wanted to ask if anyone is familiar with Raleigh (as I am out of state), which suburbs/neighborhoods are to be avoided?
Real estate agent here working with investors in the Triangle (Raleigh,Durham, Cary, Apex, Wake Forest, Rolesville etc). SFH in a class A-B areas (good schools, decent commute location) are going for closer to $400K and renting around $2000. Very minimal cashflow left in Raleigh and surrounding towns. Townhomes are your only option under $300K, but take into consideration HOA fees and lower rental rates on those. Please feel free to reach out, I connect and work with out of state investors all the time.
Just moved here to Raleigh area. Good luck finding anything under 300k in decent shape or decent neighborhood as everything has skyrocketed. Could potentially find a townhouse at that price point. Any SFH that wouldn't require much work is likely going to be on the outskirts in the Clayton, Garner, Fuquay, Angiers, Wake Forest or Durham areas. I'm not the most familiar with the Triangle Area but there's a few places I wouldn't be looking. There is announcement of Apple building a headquarters here as well as a few other big corporations (Amgen is one) coming to the area so the momentum is definitely going upwards.
Real estate agent here working with investors in the Triangle (Raleigh,Durham, Cary, Apex, Wake Forest, Rolesville etc). SFH in a class A-B areas (good schools, decent commute location) are going for closer to $400K and renting around $2000. Very minimal cashflow left in Raleigh and surrounding towns. Townhomes are your only option under $300K, but take into consideration HOA fees and lower rental rates on those. Please feel free to reach out, I connect and work with out of state investors all the time.
The Triangle is a great area for properties with excellent appreciation value while still often remaining cash flow positive. Below are 2 examples that popped up in my feed today that, depending on your cash flow expectations I think are good buy-and-hold deals. Keep in mind these are pretty generic examples of what you can regularly find on the MLS in this area.
1) 315 E Earp St. Holly Springs, 27540: List Price $280K. Rental Price $1800/mo+.New roof/HWH/fenced yard. No HOA. This one has been on the market for 10 days.
2) 832 Shackleton Rd. Apex, 27502: List Price $339K. Rental Price $2K/mo. New roof/HVAC/fenced yard, No HOA. This one is 1st day on market and will likely sell for over LP. Less cash flow if any but near downtown Apex and has excellent appreciation value over the next 24 months as Apex booms.
@Pavel Gritsai it is true that there's not a ton of inventory under $300k in the best parts of town, especially on the MLS, but I was in Raleigh last month meeting clients and I walked several properties with investors that met this criteria in decent parts of town. Most needed some work, but the majority didn't need more than a rental make-ready, which you're going to do the first time a tenant moves out anyway. I'd encourage you to expand your search outside of the MLS!
@Pavel Gritsai good questions. There are deals out there under $300,000 but you’ll have to find a more distressed property or one that’s in a more rural market. I just purchased a duplex under $200,000 but those are very rare. Feel free to DM me if you’d like a more detailed rundown of the sub markets around Raleigh. There are opportunities out there but it certainly takes a bit more patience and creativity these days.