Baltimore Rental Property Investing

[Jerry Presmy]

Task: To buy and hold rental properties, likely also including the Section 8/ Housing Choice Voucher Program (HCVP), to creat a cash flowing portfolio in Baltimore, MD. Challenges: 1.) Finding a reliable real estate agent who’s familiar with the area and comfortable doing several cash deals within the following criteria... - Property acquisition ~$20k - Rehab ~$15k - Rents for $1,300+/month 2.) Finding a reliable contractor who’s familiar with what it takes to rehab a property and get it up to Section 8/ HCVP code. 3.) Finding banking institutions who will refinance a cash flowing rental property without needing to see six months of performance. Solutions: Let’s discuss it...

[Matthew Paul]

@Jerry Presmy Well you have some challenges . First we all would love to find a house for $20K and get it rehabbed for $15K and rent it for $1300 a month .    First problem I see is that $15K for renovations , that may cover materials , certainly not labor . A 20K house will need a WHOLE lot more than that . 

The contractor part , first as a contractor I wouldnt care what HCVP code is , I would only care what was necessary to pass the building inspector . You the owner tells me what work YOU want done , I price it and then do it . 

Now you are dealing with Baltimore city and Section 8 tenants . These tenants KNOW they are what landlords want , they wont accept dives , they want nice looking properties . There are over 1000 houses for rent in the city , thats 1000 landlords trying to lure in that good section 8 tenant . LOTs of competition . 

banks generally dont want to do loans on those cheap houses . 

To be blunt , I think you have set your sights just a bit high .