Recommendations for best areas of Atlanta to invest in SFRs?

Question

Hi, I'm new to investing and live in the Atlanta area. My husband and I are looking to purchase our first SFR by the end of this year, and are looking for properties under $100,000, ideally 2 or 3 bedrooms and 2+ baths, that would provide cash flow of $250+/month. We can put 20% down, and have a lender who can get us a conventional loan for 75,000 at 4.75%. I am planning to start by managing the property myself, but want the numbers to work including property management, in case I find it's too much to do myself and want to find a property manager in the future.

Now that I've defined my criteria and found a lender, one of the next steps recommended from everything I've read & listened to on BP is to identify ideal locations to invest in.

So, I'm wondering -- based on your experience -- do you think I'll be able to find properties that meet these criteria in the greater Atlanta area, in an area that will still be safe and allow us to attract quality tenants? I currently live in Dunwoody and am willing to invest up to an hour away. Alternatively, I'm also open to looking for properties out of state if it's too hard to find deals near Atlanta, but would love to start locally if possible.

Any suggestions would be very welcome!

Curt Smith · Answer

Hi Maggie, My best tip for new or experienced is to join most of the local REIAs. I've been around the block and learning on line 24x7 is great but one needs a network of face toface folks who are active investors. These folks hang in the REIAs. In Atlanta I've sorted down the best REIA for me an experienced investor is GaREIA, the URL is in my sig below.2nd read my doc on buying Bullet Proof rentals off my profile, go down on the right.Buying rentals that appreciate, allow rent increases is best done by buying in the path of new jobs. Thats right know where new employers are coming to ATL or any area and buy where the growth in jobs will be. So do you know where new jobs are coming to Atlanta? Can you figure this out? See my doc.On a contrarian note, what ever folks tell you, do the opposite. This sounds nutty but folks will give advice from what they "heard" or what they do themselves. Why compete with the herd?I quit my day job last July thanks to building a decent sized rental portfolio in just 6 yrs by figuring out where new jobs are coming to, what asset type is on the cold side and learning to be experts in ugly or some aspect that kept it "cold". IE Warren Buffets buy whats hated and sell whats loved. Today we are buying loved asset types but in an area that has few investors. We decided we'd drive 1-2 hrs to avoid the 1000's of investors working the metro counties. Learn to be creative, crafty, resourceful, how to avoid competition.

Jarrett King · Answer

Hey Maggie! Welcome to BP! As for Atlanta, follow the Beltline. I'm looking in southwest Atlanta right now. West End, Washington Park, Perkerson Park, Cascade Heights areas. These are more rehab areas though, which I'm not sure is what you're looking for but provides the upside for a potential BRRRR.

Andrew Holmes · Answer

@Maggie WrayMs. Maggie: ATL is very spread out. Think off each highway like your fingers on your hand. The palm is the perimeter road around ATL.Now pull out a map and draw a radius of 30 miles around ATL and 50 miles around ATL. divide the entire map in 4 section east west and north south. Take North East section going out towards Gwenitte county look up and down the highway that cuts through and find towns where you can hit your numbers and demographics make sense. Since you are in the northers part I would try to focus on North East or north west quadrant. If you go out too far and see more cows than people then that is too far. nice demographic mix, B to b- areas. Stable blue collar to white collar workforce. Low Low crime.

RaSheila Smith · Answer

Anyone investing in historic College Park near Woodward Academy? I'm a whiles Ajee and just picked up -- finalizing deals actually . I think it's a great area. Although not directly on the belt line, it's literally down the street from West end and downtown. New and historic houses that are rehabbed are selling for $400k +.

RaSheila Smith · Answer

Sorry autocorrect messed up. Meant to say I'm a wholesaler, not while Ajee.

Noelle B. · Answer

Maggie Wray Lots of great comments here! Can you provide any updates on your search? What area did you decide on? Also, I am looking for a mortgage lender in the Atlanta area - our financial situation is very similar to yours. Would you mind sharing your lender's info with me? I sent you a colleague request if you prefer to PM the info. Any help/insight is appreciated...