First shot at market analysis. How did I do and what am I missing?

[David C Heiling]

Hello, everyone! :)

Very much just starting out! Listened to some podcast episodes, read some content, and tried to do a small market analysis with some examples. If anyone has a few minutes, I'm specifically looking for any metrics I missed that are important, maybe some guidance in terms of what to prioritize here or elsewhere, and just some overall thoughts on if these properties, in theory, could do well.

Please note, that I primarily am looking for cash flow in this example! Cheers:

Best neighborhoods: Link

Population growth: +0.17%

Unemployment: 3.1% (national average 3.8%)

Housing market conditions: +1.4% (Zillow)

Rent growth: +$100/mo YoY (Zillow)

Rent-to-price ratio:

Median home sale price: $105k

Median rental price

Days-on-market: -4 YoY (Realtor)

Example property: (Movoto)

2304 E 101st St, Cleveland, OH 44106

4 beds, 1 bath

Condition: C+

Location: C+

Rental estimate: $1,450

Home price: $100,000

1% rule: 1.45% (excellent)

50% rule: $725 (expenses) + $500 (mortgage)

Cash flow: $200 (conservative); $400 (liberal)

Example property: (Movoto)

1525 E 85 St, Cleveland, OH 44106

4 beds, 3 bath

Condition: B-

Location: C

Rental estimate: $2,400

Home price: $115,000

1% rule: 2.09% (excellent)

50% rule: $1200 (expenses) + $600 (mortgage)

Cash flow: $600 (conservative); $800 (liberal)

[James Wise]

Quote from @David C Heiling:

Hello, everyone! :)

Very much just starting out! Listened to some podcast episodes, read some content, and tried to do a small market analysis with some examples. If anyone has a few minutes, I'm specifically looking for any metrics I missed that are important, maybe some guidance in terms of what to prioritize here or elsewhere, and just some overall thoughts on if these properties, in theory, could do well.

Please note, that I primarily am looking for cash flow in this example! Cheers:

Best neighborhoods: Link

Population growth: +0.17%

Unemployment: 3.1% (national average 3.8%)

Housing market conditions: +1.4% (Zillow)

Rent growth: +$100/mo YoY (Zillow)

Rent-to-price ratio:

Median home sale price: $105k

Median rental price

Days-on-market: -4 YoY (Realtor)

Example property: (Movoto)

2304 E 101st St, Cleveland, OH 44106

4 beds, 1 bath

Condition: C+

Location: C+

Rental estimate: $1,450

Home price: $100,000

1% rule: 1.45% (excellent)

50% rule: $725 (expenses) + $500 (mortgage)

Cash flow: $200 (conservative); $400 (liberal)

Example property: (Movoto)

1525 E 85 St, Cleveland, OH 44106

4 beds, 3 bath

Condition: B-

Location: C

Rental estimate: $2,400

Home price: $115,000

1% rule: 2.09% (excellent)

50% rule: $1200 (expenses) + $600 (mortgage)

Cash flow: $600 (conservative); $800 (liberal)

 Those houses are not in a C grade neighborhood. Those are in the hood bro. Read The Ultimate Guide to Grading Cleveland Neighborhoods.