Kansas City

[Kathryn S.]

When I first started learning about real estate investing I thought that Lawrence, KS (my college town) was the perfect place for me to invest. I know the area well, I have family living there, and I can afford properties in the area.

Lawrence doesn't seem like a bad place to invest -- I have already identified a few properties that I think could make me a decent cash flow, but I've seen a lot of discussion about Kansas City, MO being a good place to invest on this blog. I decided to look into KC. It looks like there are some great deals there to me, but I'm nervous about investing in an area I don't know as well -- and getting myself into a sketchy area.

Any one out there have advice on where I should go? Any reason KC, MO is better than KC, KS? What about the surrounding areas? If anyone knows anything about Lawrence, that would be great too!

For context -- I live in west LA, and I'm looking to buy a multifamily property that I don't have to do much (if any) work to.

Thanks in advance for your help, BP friends :) 

[Sandi Hague]

Hi Kathryn,

We have a triplex in Lawrence and we've found it very easy to rent out. It seems hard to find a real bargain in the town - Lawrence seems top heavy with investors. The triplex was our first property (we also own in KC), and we paid market rate for it. Even so, the returns have been solid, as we've literally had no vacancy.

Two things prospective renters have remarked on during showings: 1. There's a shortage of affordable rental housing with a fenced yard for pets in Lawrence and 2. Many of them were appalled at the condition of rental units available in the town. 

Might be best to go with an area you know. Good luck!