Skip to content
Two investors reviewing resources on a laptop

Get industry-leading resources — for free

Unlock resources for every investing strategy and stage with a free account.

By continuing, you agree to BiggerPockets LLC's Terms of Use and Privacy Policy

×
Take Your Forum Experience
to the Next Level
Create a free account and join over 3 million investors sharing
their journeys and helping each other succeed.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
Already a member?  Login here
Followed Discussions Followed Categories Followed People Followed Locations
Buying & Selling Real Estate
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated about 10 years ago on . Most recent reply

User Stats

6
Posts
2
Votes
Sam Nichols
  • Oakland, CA
2
Votes |
6
Posts

Buying in "C" neighborhoods

Sam Nichols
  • Oakland, CA
Posted

Hi All,

Just starting into this real estate adventure on my first couple properties, I have an agent I like (reco from a good friend) and am personally interested in cash flow and COC return so I point out several properties I'm interested in and the agent says "I try to steer people away from those types of properties, "C" neighborhood properties, they're just a lot of trouble". So he's pushing me more towards "B" neighborhoods which have lower COC (~14% instead of ~18%) and almost half cash flow. Now I'm wondering, given a good property management company, how are "C" neighborhood properties more trouble than B for me?  If the vacancy loss, management fees etc are all disclosed and calculated into the property performance, why not pick the more performing property even if its "more trouble"?

Thanks!

Loading replies...