All Forum Posts by: Bala A.

You post even before I realize I have posted! 

Lol.

Not sure of the areas you drove by,

But please check out these that are gentrifying in a large scale and investors are snapping them up:

1) Palmer Woods

2) Sherwood forest

3) University District

4) Boston Edison

5) Green Acres

6) North Rrosedale park

7) Brush Park

8) West Woodbridge

9) Historic Atkinson

10) Woodbridge

11) Rouge Park

12) Rivertown

13) Rosedale Park

14) Hubbard richard

15) Far West detroit

16) Grandmont

17) Indian Village

18) Corktown

19) East English Village

20) Belmont

21) Aviation Sub

22) Minock Park

23) Grandmont#1

24) Bagley

25) Buffalo

34) Eliza Howell

35) Grant

36) Evergreen Lahser 7/8

37) Winship

38) W Outer Dr

39) Moross-Morang

40) Morningside

41) The Eye

42) Jefferson Chalmers

43) Eden Gardens

44) Davison

45) Evergreen-Outer

46) Joy community

And btw I have "left out" a few selective areas here, for my purchasing criteria...

I own 86 rentals SFRs and 1 commercial (a bank building), and keep the rent rolls ticking.

With a crew on the ground (on payroll).

Just saying, it is not for everyone, but for those who aspire, it is a possibility.

One can't paint all of Detroit in one single brush.

And that is the issue I see.

New York was considered C and D or even F class in the late 80s and early 90s. 

Crime, Corruption, and Rodent infested with no Public administration. 

Look at where the City is now. 

The smart ones bought apartments for 20K and are now worth 1.5 million plus.

They managed to hold on despite the headaches.

Gentrification and Lifecycles of a City from Boom to Bust to Boom again are very real.

And it happens in every City - from Ancient Rome to modern Beijing.

Pick the right City with attributes and drivers for growth, and follow the money trail.

Where are the Investments going in?

Fiat Crysler just announced a 2.5 billion dollar Jeep plant on the east side of Detroit (18.May.19).

Greektown casino was bought for 1 billion dollars today by investors seeing the potential (23.May.19).

Investors who bought in downtown Detroit in 2014 have already seen their pockets bulge 3-4 times.

The believers argue that the cascades are now on to the Detroit suburbs and it's metro.

And there is REAL opportunity for those seeking High Yields and Cap Growth. 

Stay with the program and get Property management right. Frustrations can come and go.

Remember why you invested here in the first place.

And never forget and doubt that, when you bought in the Cs and Ds,

Because the hand on the clock that say 6 today will say 12 tomorrow...

Or will remain in 6 if one bought in a City that has zero potential even 10 years later.

Just my thoughts,

Hi Bryan,

What kind of Flips are you looking at? 

Yes I agree, Detroit agents can be notorious for not responding, but let us give some thought to the Realtors working this industry here. As there are a good number of reasons "Why". 

Agents in Detroit on average earn less than a 4 digit number on a property sale. Many a time just $495 on a house sale. Sometimes even less. Unheard of in most other States! 

And when they have to deal with the fussiest buyer in the most distressed market with 70-80-year-Old homes, that present as a bargain of the century now, and when investors can take a long time to make decisions (sometimes due to insecurities) , and when tenants can be hard to co-ordinate a showing as most are working shifts in the Auto industry, it presents that agents align with the best people to work with. That is Decisive Buyers.

There is a difference in due diligence between buying a 500K property versus a 25K property.

Yes if the window pane is broken, it is broken, costs 30 dollars to fix, if the carpets need to be stretched, it needs done, 150 for that. No haggles, or one loses the momentum of the market, and see the decisive investors make money.

Hi Denzil,

I am an Investor and can also pool in other Investors on this project. We have another senior's project in Chandler Park. The address is 13139 Chandler Park Detroit which is a 9-bed room and houses 18-23 seniors at any given time.

Let me know your preference as I am an email away, [email protected]

Way too early to exit the rising Detroit market in my humble opinion.

2006-08 was the peak and it crashed. Detroit bore the brunt with the Bankruptcy of the City itself. 

Today they are just at the 25-30% their peak values set in 2008. Still 70% Discounted.

Whilst the rest of the country has gone back to the pre-GFC levels, Detroit is climbing up there.

With the investments coming in, only some die-hard hardcore investors, see the glass half full,

As downtown 2 bed/2bath apartments selling at 350-400K a Pop, the writing is on the wall perhaps. Humbly saying.

https://www.nytimes.com/2019/02/26/business/fiat-c...

Places like Bagley subdivision, in Detroit Northwest, were selling 30-50K just 18 - 24 months ago. 

Today it is anywhere between 100 - 150K for those same homes. 

In a very short time, the prices have moved up astronomically. 

Whilst being Cash flow positive for Investors. And getting the Capital Growth. 

Who says you can't have both!

:-)

(for e.g I have 18681 Northlawn tenanted at 1200 per month which I bought for 41,000 in 2017 and now even the conservative Zestimate has it valued at 128,000)

In fact, since some of the prices have soared so much in certain pockets, like Bagley, Rosedale Park, Uni Dist, East English Village, we are no longer buying in these "Bagleys" anymore and are sniping at the next domino effect markets which are the next in line. Like the neighborhoods of Winship, 5 Points, Berg Lahser, West Outer Dr, Castle Rouge, Malvern Hill areas etc.

I would recommend Metro Detroit property Management if it is on the West side.

Speak to Mark Hutter.

I guess you mean a wholesaler friendly Title company?

Most Detroit Wholesalers like to use Legacy Title or Michigan Title.

But as an Investor myself I prefer ETitle as their due diligence is extensive.

Wholesaler friendly Title company is NOT Investor friendly :-)