Baltimore Real Estate Investment- Info Discussion

[Kristen Mathias]

Evening Bigger Pockets,

I am a new investor looking to purchase my first rental property. I have done a fair amount of research and intend to buy in the Baltimore area near John Hopkins (potentially Canton, Fells Point, Blutcher Hill, Charles Village, etc.). With this being my first property I don't think I want to buy a rehab, although I know the returns on these properties are larger, and I had primarily been looking at a renovated or fairly nice rowhouse. I want to buy something which will hopefully rent fairly easily before I move on to something more challenging.

I am moving to Baltimore from the West Coast and although I have done a lot of research I have not yet spent a lot of time there or do not know the area super well. I have run the numbers and found a few properties that I believe are a good deal in a fairly safe neighborhood, although I plan to visit these before buying as I know Baltimore varies on a block-by-block basis. My question is: a couple of the houses I found are close to $125K which I believe will rent between $1,300-$1,400; has anyone else bought a rental in this range/does this seem reasonable? With these numbers, does this seem profitable or would you recommend against it? My goal is to buy a place that is both a good investment and a good place to live. I will hopefully be living in it with roommates. but am open to all kinds of options which make sense. 

I appreciate any feedback or recommendations for the first property.

Thanks

[Ned Carey]

@Kristen Mathias buying in that price range and up in Baltimore I think is a good range for rentals. However if you are paying full retail I think you are going to have trouble getting them to cash flow, unless you put significant money down.

Correction: Rents are higher than i thought in some of these areas ($125-150) so they will have some cash flow.