Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
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 8 years ago,

User Stats

59
Posts
41
Votes
Philip Hy
  • Rental Property Investor
  • Plano, TX
41
Votes |
59
Posts

Buy in cheaper in "worse" neighborhoods?

Philip Hy
  • Rental Property Investor
  • Plano, TX
Posted
Regarding the investors with +100 units, are they basically doing it buy buying cheaper properties (<$100k) in "c" and "d" properties and then handing off to a property manager? I've been buying in solid middle class "B" neighborhoods to avoid problem tenants. Zillow shows schools 5 or above. I'm buying for 150k and renting for about $1,400. Putting down 20%. After all expenses, PM fees, I'm getting about $130 cash flow. Learning a lot and investments seem solid, but process seems slow and running out of cash for 20% deposits. Is there anything you would do differently? Buy cheaper houses and let PM deal with problematic tenants? BRRR method seems to only work if you buy in worse neighborhoods?

Loading replies...