Belair-Edison and Section 8 buy-and-holds
Any investors in the area with experience in dealing with Belair-Edison SFRs? The returns look promising on some of these homes; however, most of these properties appear to be geared towards Section 8 tenants (and by "most", I think nearly all of them are open to accepting vouchers). Additionally, I'm also seeing that a significant number of available rentals are in the 30-60 DOM range, some rentals with even more. While I like the potential returns, I don't have enough experience in the area to know if my base case vacancy rate of 10% is too thin given the market. I also have my base case R&M and capex percentages set to 5% each, which may be insufficient given the class of tenant. Any advice that can be offered would be much appreciated. Some of these homes appear to be in turnkey condition and I like the forecasted ROIs ... I'm just having a hard time finding confidence in these numbers given my inexperience with the area and demographics.
Thanks in advance for any help that can be offered!
-Greg