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Updated almost 10 years ago on . Most recent reply

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249
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73
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Rod Desinord
  • Real Estate Agent
  • Pompano Beach, FL
73
Votes |
249
Posts

I hear A class, B class, and even C class homes, where do I find what they mean?

Rod Desinord
  • Real Estate Agent
  • Pompano Beach, FL
Posted

I hear people on here referring to different classes in regards to homes? Where Can i find what they mean? or anyone here can explain them to me 

Most Popular Reply

User Stats

226
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89
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Bogdan Cirlig
  • Real Estate Investor
  • Los Gatos, CA
89
Votes |
226
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Bogdan Cirlig
  • Real Estate Investor
  • Los Gatos, CA
Replied

There's no hard cute definition, they largely mean same thing to same people, look at it this way:

A - white collar execs, well off business owners, median household income in the 100k+, schools at least 8 out of 10.  Virtually lowest crime. Generally properties here don't cashflow with 20 down. Education level mostly college (50%+ and 15%+ advanced degrees)

B - blue collars hard working middle class. Household income min 70k, decent schools. Great CF. State average crime level. 

C - already lower household income usually 40k/yr, higher crime, mixed bag of high school and college education. renter density in suburban areas generally higher in the 20%+

D - warzone, high crime, sect 8 mostly living on govt programs and supplementing income via not so legit ways (read meth houses, etc). Property values under $30k, average household income is max $35k/year. You gotta know what you're doing or be the "hefe" on the street to collect rents there.

Im sure other people can add various angles to the same definition.

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