Help me deploy $800k cash

[Mike Kalob]

cap rates here in North Nj are pretty low. 

What metro areas can i get the largest building (# of units wise) or is every metro area currently overheated?

I keep hearing about columbus, oh but when i go on the mls cap rates are actually not that far off from NNJ. 

I like texas (robust economy, CA & northeast transplants fleeing high taxes, no state tax, pro landlord)..however i hear dallas, austin, san antonio, and other parts are not cheap per se anymore (same with florida).  

How does houston compare? Thanks

[Rick Pozos]

Just about every area of the country is pricey. It is the economy that we are in right now. 3.9% unemployment rate. $2.50 to $3.50 gas (depending on where you are), interest rates at historic lows.

I have to say, if you are looking at MLS, you are NOT going to find DEALS. Deals are had by doing marketing to potentially distressed sellers. Spend some of that money on marketing. You will find deals in any market. I find deals every month in my area of Texas, but not on the MLS. Right now there are too few properties getting chased by all the lazy people trying to make a quick buck.

Also, it is not about buying the most units for the dollar. If you use that scenario, you are going to buy lots of units for cheap in the worst ghetto areas in the worst cities in the country. If you are going for the bigger multi unit, you have to find "value add" type of projects. Those are definitely NOT on MLS.