Areas to invest in Jacksonville

[Richard Lee]

Hi All,

I am doing some study in JAX and plan to do buy and hold strategy as a out of state investor.

Trying to find local PM and real estate agent who works with out of state investors, would appreciate if anyone can refer. 

So far, I am looking into a few properties on west JAX in a small pocket surrounded by 3 highways (90, 10 & 295) in zip code 32220.

Anyone has suggestions on whether this is a good area for rental?

I noticed a large area in west JAX uses septic, wondering if anyone has experience on it. Whether you would avoid it or not.

Can you also suggest good areas for buy and hold?

Thanks!

[Bill Dannheim]

Hi Richard,

I gave a talk a week ago to an investor group that was in town on this very topic. Jacksonville is huge and has extraordinarily large and complex sub-markets. One of my slides specifically said:

Jacksonville is:

Huge! Largest city in the nation – 747 square miles!

Diverse! Large size creates extraordinary asset and sub-market diversity.

Sub-markets! You must know and understand the dynamics of the sub-markets!

I can't stress this enough. I see out-of-town investors come to the Jax market and become lured to certain areas/properties because they can buy a property with an 11% cap rate.  But what I like to point out to folks is that there is a reason for that cap rate!!   The cap rate tells a story, and in many cases that cap rate looks good on paper, but realizing the rate can be elusive!

I would be happy to talk to you about the market here in Jax if you would like.

I wish you the best of luck with your real estate investments here in Jacksonville!

All the best,

Bill