Cleveland Ohio rentals

[Dave Wittig]

Good morning, I’m sure someone or a few people are familiar with the Cleveland Ohio rental market for single family homes. I am looking at a opportunity to buy 2 single family homes, one is closer to downtown Cleveland and the other is in west Cleveland I’m told. I was wondering how the rental market is there. Thanks

[Joshua Parr]

In terms of numbers (cap rate, cash on cash return, etc.), Cleveland is pretty great if you're comparing it to somewhere like California. However, I would make sure you know what you're getting into. There are plenty of rough neighborhoods around Cleveland. Not to say that you can't get great tenants and make great returns in those neighborhoods, but you just can't be going in there hoping for the best without a good team. There are many out-of-state and out-of-country investors always buying in Cleveland area because prices are cheap. I have heard plenty of cases where some of these people get burned pretty bad. Not trying to scare you, I would just make sure you do due diligence and have trustworthy property management and other team members with boots on the ground in the market you're buying in.

I would also recommend taking a trip here (if you haven't) and just driving neighborhoods to get a feel for them. The price of a plane ticket can save you thousands of dollars in the future. 

Best of luck!