Detroit good for rentals ??? Section 8??

Question

Brent Maxwell · Answer

Detroit has some of the best municipal drinking water in the country. You're thinking of Flint.

Account Closed · Answer

Agree with @Saul L.. S8 is not for the faint of heart and it requires an excellent Property Manager willing to do them if you're out of state.

Most of the PMs I've worked with or spoken to in the past have bowed out of Section 8 now that the economy has picked up. Likewise, many investors won't touch them b/c the damages and inability to collect for them push them into other sectors.

Jesse Myers · Answer

I have 6 section 8 houses in Florida so far it's a great program, cash cow if you know what your doing. I never worry about getting rent cause it's me and the govt not me and the tenant.

But my question is only relating to the Detroit market. 1.) buying a house at $5,000 seems great- too good to be true?

2.) is section 8 a strong market there? I would. not touch this martlet with regular rent, I don't chase tenants for rent that is a nightmare.

3.) out of state - is it possible ?

Those are my main questions. Some have answered- I could definitely see this being s nightmare area for good property management. They barely have drinkable water , so good properly management is a laugh I assume. anyway thanks for the replies.

Saul L. · Answer

Self management and also really knowing what you are doing. I went through 3 PMs during the time I was in Detroit and they all ended in disaster. If there is a good management co in Detroit, I haven't met them yet.

Ben Snyder · Answer

Saul, do you believe using a management company would be 'in the trenches on the ground' or are you suggesting strictly self-managed properties in Detroit and not using a management company?

Saul L. · Answer

Lots of Detroit investors on BP. I've had experience and IMO , it's not for out of state investors. Only experienced locals, in the trenches and on the ground day in and day out have a chance of making it work.

Detroit good for rentals ??? Section 8??

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