Struggling to Find First Deal in my Market

[Adam Michel]

As the title suggests, I've been on the market for my first property for the past month and a half, and have been searching for SF and Duplex properties in my area of interest of Northeast OH (Canton, Massillon, North Canton, Canal Fulton, Green, Uniontown). Goal in mind is to establish my (and soon to be wife's) primary residence/house hack whilst rebuilding reserves for future investment. Issue is, almost every single property I underwrite seems to have pretty mediocre projected returns: ~0-4% COC, 8-15% IRR over 10 yrs, at best. I know it is still down season, so listings are thin (especially for MF which is our preferred route), but it is starting to discourage me; like we've already missed the train of cheap debt and rapid appreciation/inflation that so many others took advantage of in recent years.

Are my expectations set too high for my target area? Am I being impatient? Am I doing something wrong in my underwriting methodology? 

Would love to hear from others in similar situations or with more experience. Open to sharing further details regarding strategy/search criteria, or hearing suggestions!

[Ty Coutts]

Hi Adam,

It sounds like you're taking a thoughtful approach, but there are a few things to consider. First, the market conditions in Northeast OH may be influencing those lower projected returns, especially with rising rates and more limited inventory. Don't be discouraged by the lower returns—house hacking is often about long-term wealth-building, and your primary residence can offset some of those mediocre numbers.

Make sure you're accounting for local trends and realistic rents—sometimes expected rent growth is overly optimistic, or costs like repairs might be underestimated. Since you're still in the early stages, don’t rush; it’s better to wait for a better deal than to overpay or settle for marginal returns.

If you're getting 0-4% COC and 8-15% IRR over 10 years, those are still decent returns, especially in a less competitive market. Consider exploring alternative financing strategies (like seller financing or creative financing) or targeting off-market deals to find better opportunities. Patience and persistence in this market can pay off in the long run!