Auston is Hot, Dayton is Not is that an opportunity?

[Michael Lauther]

I have always been a contrarian (not a speller)but the danger is to take a position too early.

While my Texas friends are raking in the money in their market they are taking that market out of my reach

Just as investors here in the Hampton's have bid up the properties to a point where investing for income is not viable investors in Texan are seeking rapid appreciation I am seeking income now. Would not mind some appreciation.

Currently I am buying properties in Dayton OH , a specific example is example is a 3 bedroom one bath with central air ;408 Sheridan ave Dayton oh 45403. I am all in for under 20k and getting 588 sec 8 rental from a tenant who loves the property.

How would my Texas friends evaluate this market that has been shrinking in population that has had above average unemployment and crime has Lost its manufacturing base.

I am betting it has hit bottom and will slowly appreciate over the next 5 to 10 years as the city finds its way.

How would you compare it to the latest Hot market in Auston. Do you see opportunity here or would investment in Auston give me more bang for my buck?

[Brian Levredge]

I would look more at the long term trends to see what kind of a picture it paints about Dayton. What is the long term job outlook? What direction are taxes heading? Etc., etc. I invest for both cash flow and appreciation and without long term job growth to push up demand for housing then you are only investing for cash flow. Furthermore, you are relying on the govt to pay your rent. I'm not knocking that as I have some Section 8's myself, but what if housing in the future gets cut? Then you are looking at further reduced returns.