Choosing rental location

[Katie Bustos]

I feel ready to purchase my first rental but need to pick an area to invest in! My husband and I lived in Houston for 7 yrs and know the area relatively well and still have friends there. We moved to Boston this past year but live in the heart of the city and would have to purchase in the suburbs to be in budget and we know NOTHING about the area. 

I would like to buy a duplex budget $250k that is turnkey and in B neighborhood. Any advice on how to laser focus on an area that would fit this criteria? Also, we don’t have a car so it’s very difficult to discover the surrounding area.

[Steven Foster Wilson]

Quote from @Katie Bustos:

I feel ready to purchase my first rental but need to pick an area to invest in! My husband and I lived in Houston for 7 yrs and know the area relatively well and still have friends there. We moved to Boston this past year but live in the heart of the city and would have to purchase in the suburbs to be in budget and we know NOTHING about the area. 

I would like to buy a duplex budget $250k that is turnkey and in B neighborhood. Any advice on how to laser focus on an area that would fit this criteria? Also, we don’t have a car so it’s very difficult to discover the surrounding area.

Hi Katie,

I recommend the major cities in Ohio:

-Columbus, great for appreciation, pp is a bit higher around $220k for multifamily

-Cincinnati, has a mix of cash flow and appreciation, average multifamily around $180k

-Cleveland, has alot of cashflow potential, average multifam around $140k

There are other smaller markets like Dayton, Akron, and Toledo, however there is not alot of economic drivers to those areas.

Looking for cashflow? Look into Cleveland, its got good cashflow potential with appreciation happening as well.

Looking for appreciation come to Columbus, there are still 1% deals, but the more attractive part is the population growth and other economic drivers!