Who is buying rental properties during covid ?? What state?

Rental Property Investor · San Francisco, CA · Member since 2020 · 33 posts · 36 votes

I would like to buy my first property. But idk what is going to happen with all this covid going on.. what are you guys doing?

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Corby GoadeBusiness Member

Investor · Boise, ID · Member since 2014 · 3k+ posts · 3k+ votes

There will always be a reason to be fearful or wait for something better. Always. Right now, sure, competition is high in most markets and prices are being driven up- but money is cheap and plentiful. When it becomes a buyers market and "deals" are plentiful- guess what? Money will be expensive and loans will be much more difficult to get.

The best advice I can give if you really want to invest and create financial freedom is to forget the advice you get from strangers on the internet. Look at each possible property and what you think it would do for your personal financial situation now and in five years. If you think it will benefit you, jump in. Try. I guarantee you that if you were to find something that you thought would work for you and posted the deal on these forums, you'd get plenty of people telling you that it's not a deal. Those people aren't you, they aren't in your market and they have no idea what your goals or financial situation are. Silence that noise and make moves based on your goals and resources.

Happy Investing!

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Bjorn AhlbladPro Member
Investor · Shelton, WA · Member since 2017 · 6k+ posts · 6k+ votes
6y
Prices are crazy in western wa. We are 2.5 hrs SW of Seattle. Nothing decent stays on the market for more than a few days. Overpriced crap goes in less than 2 weeks
9 Reply
Diego Hodge
Rental Property Investor · Cleveland, OH · Member since 2019 · 37 posts · 79 votes
6y
Cleveland is still a great market to purchase property that will Cashflow. We primarily focus on off-campus housing, VA and homes for traveling health care workers.
12 Reply
Ricardo P.
LakeWood , CA · Member since 2018 · 268 posts · 331 votes
6y
@Josue R. at this point during covid it’s a great time to buy but then bad at the sametime and I’ll explain why.
It’s a great time to buy because of the interest rate it’s really low. Now, it’s also a good time to buy because you’ll be able to negotiate better since not all tenants are paying rent. Yes it sucks but nothing in this world last forever. I’m sure the real estate Market specially apartments are going to sky rocket once this pandemic is over. Owners are going to want to recuperate all the lost capital. I’m holding off on my rent increases until this pandemic is over then boom increase all my rents. At the end of the day you miss 100% of the shots if you don’t try.
9 Reply
Josue R.
OP
Rental Property Investor · San Francisco, CA · Member since 2020 · 33 posts · 36 votes
6y
@Ricardo P.
Good point man👍🏼
0 Reply
Josue R.
OP
Rental Property Investor · San Francisco, CA · Member since 2020 · 33 posts · 36 votes
6y
@Diego Hodge
Cleveland oh is my primary market we’re I’m looking to invest. But with all this covid situation I’m holding back.. I’m scare the Tenent’s might stop paying rent or new Tenent policy’s that’s might come up on the near future.
0 Reply
Brian Garlington
Realtor · Oakland, CA and a Real Estate Investor with Multi-Family Units and a Self Storage Facility · Member since 2016 · 2k+ posts · 2k+ votes
6y
Actually condos are starting to be more reasonably priced in San Francisco and the Bay Area in General, but it is still a Seller's Markey.
3 Reply
Ganessan P.
Investor · Member since 2019 · 82 posts · 29 votes
6y
It's crazy in Austin, TX, prices are crazy in some areas.
1 Reply
Jorge RicoPro Member
Houston · Member since 2018 · 4 posts · 2 votes
6y
In Houston homes are selling fast and furious with multiple offer bidding situations common on nice houses (on the MLS).
2 Reply
Account Closed
Fort Collins, CO · Member since 2017 · 110 posts · 69 votes
6y
Went under contract on my primary in March and closed in May, just a few weeks after they laid off about 80% of our plant (not me thankfully). Apartment life was crushing my soul and I had to make a move.
3 Reply
Melissa Veazie
Real Estate Agent · Jacksonville, FL · Member since 2020 · 34 posts · 17 votes
6y
@Josue R.
I have a lot of investors investing in Jacksonville! It’s a hot market!
6 Reply
Jaquetta T Ragland
Real Estate Agent · Winston Salem, NC · Member since 2014 · 486 posts · 303 votes
6y
@Josue R. I think everywhere is a hot market right now. I’m in North Carolina and everything I have put an offer in lately has resulted in “highest and best”
4 Reply
John Liberati
Wholesaler · Macungie, PA · Member since 2015 · 32 posts · 28 votes
6y
HI, I haven't bought anything yet during the COVID. But we have been selling our units, People are overpaying for units where we are. We are looking still and expecting to see prices going down in the next few months. So if I come across something I will buy it, but as of now haven't found anything.
Don't stop looking, it just means you may need to look at more properties. But you are probably looking at the next few months seeing the prices going down. We already got a property sent to us with a 10cap in texas. We had looked at this property months prior and they had to adjust the numbers due to COVID. With the Moratorium to temporary stop evictions, cause a hardship for some landlord.
SO keep your eyes open, and continue to look for properties that make sense. If you find a building that makes sense buy it.
3 Reply
Corby GoadeBusiness Member
Investor · Boise, ID · Member since 2014 · 3k+ posts · 3k+ votes
6y
There will always be a reason to be fearful or wait for something better. Always. Right now, sure, competition is high in most markets and prices are being driven up- but money is cheap and plentiful. When it becomes a buyers market and "deals" are plentiful- guess what? Money will be expensive and loans will be much more difficult to get.
The best advice I can give if you really want to invest and create financial freedom is to forget the advice you get from strangers on the internet. Look at each possible property and what you think it would do for your personal financial situation now and in five years. If you think it will benefit you, jump in. Try. I guarantee you that if you were to find something that you thought would work for you and posted the deal on these forums, you'd get plenty of people telling you that it's not a deal. Those people aren't you, they aren't in your market and they have no idea what your goals or financial situation are. Silence that noise and make moves based on your goals and resources.
Happy Investing!
30 Reply
Patricia Taveras
New Bern, NC · Member since 2017 · 246 posts · 173 votes
6y
@Josue R.
We closed on a house in early April at the beginning of covid and put it on Airbnb. It's doing well. We are negotiating on another house now. We'll see how that goes.
3 Reply
Jacob Repreza
Real Estate Agent · Orange County, CA · Member since 2016 · 207 posts · 111 votes
6y
We've purchased 5 properties in Cleveland in the last couple months. Majority of them we got under contract right when the lockdown happened so a lot of sellers were fearful and took our low offers thankfully.
What you always have to keep in mind is that the money is made on the buy side. If you're buying too high then yes you have some reason to worry about prices dropping but let me put it this way. If our rental in cleveland heights drops 20% (which i believe was more than the great recession drop in 2007 and I don't think we see a drop that large) we still wouldn't be under water because we bought so cheap.
So I would be weary of buying turnkey or at market price but with a good fixer property you're gonna have plenty of leeway.
5 Reply
Chris CooperPro Member
Realtor · Oklahoma City, OK · Member since 2019 · 28 posts · 20 votes
6y
@Ganessan Paraman
I have an investor who rents in Austin but has bought three new construction homes in Edmond Oklahoma. Go figure!
1 Reply
Michael Bennett
Real Estate Agent · Phoenix, AZ · Member since 2017 · 47 posts · 34 votes
6y
@Josue R. Arizona! Invest here and get cashflow & appreciation.
1 Reply
Steve Osowicz
Real Estate Broker · Louisville, KY · Member since 2014 · 121 posts · 91 votes
6y
@Josue R. I have a 6-plex under contract and some others I have been looking at, just like everywhere else there is low inventory and high prices. The 6 was off market so are the others I have been looking at. I can't compete with primary residence buyers in the open market or even multi-family on the MLS, others are willing to pay more than what makes sense for me. Though there are always deals if you look hard enough.
2 Reply
Greg Haygood
Accountant · Washington, DC · Member since 2019 · 16 posts · 15 votes
6y
@Diego Hodge I'd like to expand in Cleveland as an out of state investor. I understand off campus well enough, but how do you target VA and traveling healthcare workers in Cleveland, eg Cleveland Clinic listserv?
3 Reply
Diego Hodge
Rental Property Investor · Cleveland, OH · Member since 2019 · 37 posts · 79 votes
6y
@Josue R. We shared the same concern. Then quickly realized that revenue is being generated in this economy as in any economy. We decided to be more methodical with purchases and tenant interviewing. Our inventory is primarily geared to off-campus housing for students (secured by parents) sprinkled with VA and Traveling Health Care Housing. Health care is huge here due to some large educational and medical institutions that hiring and retaining essential workers.
2 Reply
Joshua D baker
Rental Property Investor · AR · Member since 2020 · 12 posts · 28 votes
6y
Closing on a duplex Thursday. SE Arkansas. Got an awesome deal. This is definitely the time to BUY! Always good deals during times of distress!
4 Reply
Bonnie Rhodes
Real Estate Agent · Nashville, TN · Member since 2020 · 77 posts · 71 votes
6y
@Josue R. Many of my investors in Tennessee are buying rental properties currently/are requesting more. Clarksville is a major rental market because of Fort Campbell being close by. Murfreesboro is a rental market because Middle Tennessee State University is there and has some commuters that work in Nashville/Brentwood/Franklin area. It all depends on location. Also - the deals that are currently more attractive and more affordable are the off-market ones.
3 Reply
Dan Biber
Developer · Atlanta, GA · Member since 2018 · 21 posts · 14 votes
6y
@Josue R.
Real estate investing/landlording is not rocket science. Yes, COVID adds a layer of risk that certainly needs to be managed as other risks associated with RE. I'm in Atlanta and for us, location, population, jobs and diversity of jobs are clearly the key factors in mitigating COVID-19. Bought a townhome few weeks ago for $10k more than asking price with over 30 offers situation. However, due to above mentioned factors, got rented out in 1 week. Closed on 48 unit multi-family community last month. With strong jobs and employer diversity, over 90% of the tenants are back to working.
Thanks for reading,
Dan Biber
4 Reply
Jordan MoorheadBusiness Member
Real Estate Agent · Austin, TX · Member since 2015 · 5k+ posts · 3k+ votes
6y
I just bought a duplex in Austin
[email protected]512-888-9122
The Moorhead Team5140 Reviews
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1 Reply
Doug Spence
Investor · San Diego, CA · Member since 2016 · 1k+ posts · 975 votes
6y
Originally posted by @Chris Cooper:
@Ganessan Paraman
I have an investor who rents in Austin but has bought three new construction homes in Edmond Oklahoma. Go figure!

Do these cash flow in Edmond?

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