All Forum Posts by: Abe DeHart

I think it is dependent on the neighborhood, but I think that $425 would be on the high end. There is a lot more supply of 1/1s than demand. The vast majority are in c- or d neighborhoods. I would ask the owner how long those tenants have been there and if they are actually paying. I’d bet 50% have moved in less than a year ago. 16 of my units are 1/1s.

If you are referencing the deal in Lawton you mentioned in another post today (I got a notification on that one) I would be extremely careful. It is not easy to make money in Lawton - especially on 1/1s. You should be able to get closer to the 2% rule to make something like that work. I'm happy to chat more. I own 40 units in Lawton. 

Tim - welcome to Lawton. Neighborhoods here are very much block by block. I’d recommend you take a quick drive around prior to buying to see what you are comfortable with. Everyone’s risk tolerance is a bit different. I’m happy to answer specific recommendation questions over DM. There is not a lot of small multi-family in Lawton, so if your looking to house-hack you will need to be creative, but it is definitely possible. 

Connor - I’m an investor in Lawton with 40 units. Happy to chat and point you in the right direction with connections. It’s a tough market but I enjoy it!

One of the issues that you might run into with the enemy method is incorporating seasonality. You are looking right now at the “low season” in the Smokies. Jan 1 - end of Feb have lower visitor volume than the rest of the year. Many owners try to lure guests with lower cost/night during this time. Try incorporating rates in April-September and you will likely see a pretty significant uptick. 

@Henry White - Welcome to Lawton. I have 40 rentals here. It’s a rough market, but there are opportunities. I completely agree with Adam’s statement. Happy to chat if that would be helpful. 

I’ve thought of purchasing a 4 seat RZR, registering it for on-road travel, and renting to people who come for a week to my rentals in the smokies. Local places charge $450+ per day. Could be a nice gig if I can get the right liability insurance. I bet that could be a nice revenue stream for you Paul. High paid blue collar workers would love a RZR Turbo S to zip around town in. 

Doug - I have 40 units in Lawton. The market is relatively stagnant and completely dependent on Ft. Sill (the local military post). There is a lot of excess inventory particularly stuff built in the 1940s-1970s.  However, there is potential for great cashflow when you can buy right and manage right. I’d highly recommend you take a flight to the town and decide if it’s still somewhere you’d like to invest. It can be a bit rough for some folks’ tastes. Feel free to PM me with any questions.

Nice work! Sounds like you were able to avoid major pitfalls. Lawton is a great town when you figure out how to make it work. Lots of deals on old houses, but also a lot of the unique challenges that come from military towns. Always a ton of vacant houses and apartments here due to supply/demand mismatch and poor management.