Any opinions on buying rentals in Grand Rapids?

[Philip Beckwith]

Hello Grand Rapids investors. What is your feeling about buying single-family properties in Grand Rapids now? It seems pricey, but that doesn't mean it isn't worth investing.

Last summer it was pricey too, but we waited, found a couple of fixer-uppers and made it work just fine. I'm thinking with patience and being smart about things, there is still a chance for making a new in investment work. I'm wondering if people agree or disagree.

[Jon Smith]

I agree- be patient.  Anything on the market, especially for single-family homes, you are in competition with other investors and owner-occupants.  Owner-occupants can pay more since they are not looking for a "return on investment" per say.  Run your numbers and stick to them- note that maintenance costs are still high, so pay careful attention to your numbers.  I think it also has to do with your goals.  Some investors don't care about cash flow; they want a nice asset that, for the most part, pays for itself over time- and some are looking for immediate cash flow.  Immediate cash flow is tough right now when buying on the open market.  Take the emotion out of it, know your numbers, and stick to them!