All Forum Posts by: Aris Mantalvanos

@Ryan Wosick

Not knowing the area and had enough going on elsewhere, so did not pursue it.

Jason thank you.

Great points and concerns of mine as well.  I will say, both properties have been updated with systems where it counts.  All newer items. (less than 10 years old).  And appreciate the renting guidance as well.  Will need to dig a bit more here, but worth it. 

Hello,

Looking at buying two properties side by side, in rural NC. It's actually close to I95, but more so on the outskirts of a couple decent sized towns (7k people and 13k people).  The closest town is population 600 (if that gives you any indication).  Properties are located on a major road.  Across the street is a trailer park.

Right now, the properties are owned by the same family and are being used to house extended family.  I would buy them and turn them into rentals.  One 1930s built 2br/1ba. Possibly 3br/1ba and the other is a 1980 manufactured home 3br/1ba.  Probably need about $10k in rehab work between the two. Otherwise they were kept up pretty well.  Nice lots with a big shelter that straddles both properties (that's a whole other story).

Apprehension stems from the fact that rental comps are mainly for the bigger towns 10 to 15 minutes away.  Not in the middle of the country, so to speak.  So, don't know how rentable these are. Is every area/geo rentable?  It would be easier if I could tell you there was an Amazon distribution center down the road, etc.  BUT nothing like that in that area.

Otherwise, based on those rental comps these would cash flow decently and the purchase price puts this over the 1% rule. Cash on cash ROI is about 10%. Realistically, this wouldn't be a bid to get these to appreciate. I don't think that would happen. This would strictly be buy and hold in order to collect rents every month and I'd be in a 100% equity position from the start.

Thanks for reading.  Just trying to keep my head straight.  Don't want to miss out on a potentially good deal, but don't want to take a deal just because it 'seemed' good either.

I'm in the same boat except that I am looking to downsize my home and upsize lot size.  The area I am in has exploded as well.  I thought about keeping the home as a rental as it's just bound to continue going up in value, right?  Know what?  Take the money and run.  Use the money for the new home and anything extra..buy more property!

Lots of Raleigh folks on here and be on the lookout for the monthly unofficial BP meetup in Cary at the Hickory Tavern.

All,

Looking at an opportunity to invest in a duplex in Henderson, NC.  I am in Raleigh, so it's within an hour's drive.  I am struggling with the cliche location, location, location.  The property is fully rented with a year's leases on each.  It's also pushing the 2% rent to property cost envelope and would be netting about $1000 monthly.  I am not so much concerned on appreciation, but more so rentability and sustainability to rent at that price in that area/geo.  Anyone with experience in Henderson?

Thanks,

Aris

Going to try and make this one.  Attended last month and it was great.

@Rachel Smith Welcome!  I moved to Raleigh from LI, NY about 16 years ago.  The area is still in BOOM mode.  There is a meetup hosted at Hickory Tavern in Cary the 2nd Wednesday ( I believe) of every month. Lots of great folks and a wealth of knowledge.  You should plan on a visit! And of course, do feel free to reach out with any questions.

@Annchen Knodt This is where I find myself getting stuck with the last few deals I have analyzed in the RDU market.  It would solely be based on appreciation, which I am not really looking to do right now. 

This is a tough call because it doesn't even pass the 1% rule for property cost vs rent as an initial indicator. I think the HOA/taxes/insurance expense hurt this a good amount. RDU is starting to increase exponentially with the property taxes. Explosive growth in the area. BUT that also means you're most certainly going to experience property appreciation to a good degree. Also, factoring in the 8% property management hurts it further. If you would consider doing the property management yourself, that would help alot.