Houston / Atlanta Properties

[Shyam Panchal]

Hi BP Community,

A partner and I are looking for rental properties in Houston or Atlanta. My partner has quite strict investment criteria and is looking for proprieties achieving 15% CoC return, assuming 35% down and 5.375% interest (commercial lending).

I've invested in both cities and am achieving 7-11% CoC in Class A areas (I self manage so no property manager involved).

At a glance, his investment criteria seems unrealistic for these markets. If we invest in Class B-/C+ areas, maybe this would be achievable, but I haven’t been able to find anything.

Any thoughts on areas where I might search?