Does Providence (or any place back east) have rental opps?

[Lucas Bernard]

Hey folks, I'm originally from the Boston area and spent many a summers in Westerly, RI, so I'm familiar with Providence to a degree. I keep seeing it, as well as Worcester, pop up on sites as a top cash flowing city. Is that just a bunch of malarkey or are there actually opportunities back east? I feel like up until now I have been directed towards the Midwest or down South, and been told to steer clear away from back home. Cheers!

[Anthony Thompson]

Hi @Lucas Bernard I am a firm believer that there are opportunities just about everywhere, including Providence. That said, the cash flow is OK but at this stage of the market I'm not blown away. I did a 1031 exchange late last year and was seeing cap rates around 4.5% for on-market (MLS) B area properties in Providence and adjacent towns. Cap rates may be even lower now, though of course everyone is waiting to see what the effect of rising interest rates will be.