Originally posted by @Tom A.:
Originally posted by @David O:
Originally posted by @Scott K.:
Originally posted by @David O:
Certain areas of Detroit are already "coming back". In 5-10 years the perception of Detroit will be different. There are alot of powerful figures that are actively investing in "rebranding" Detroit and they have a good track record. Now is the time to invest IMO. You really need to know the area though. I'm not talking about investing in some $500 house in the middle of nowhere on the eastside. Corktown, Midtown and Downtown are the hot spots right now and it will grow outward into other neighborhoods. New Center, Mexicantown, Brush Park and other areas are luke warm. Some areas are dead cold. There is alot of rehab going on and alot of new businesses opening in the hot areas. Smart people are investing in Detroit right now. Follow the money. If my money wasn't tied up right now I would be investing in Detroit. I plan to in the next couple years. If anyone wants to partner up message me ;). I live Downtown and work Downtown and really "get" the pulse of this area.
I said Corktown in an earlier post. Its the cheapest way to get into the game. With Cork town being one of the closest hoods to downtown that is not bombed out it will be worth a shot.
Yes smart people are investing but those people are big big big money to think that an average investor could get in on those deals is silly. Those deals never even reach the market. To get into the downtown area you need to get approval from the downtown economic club that holds the cards
Yep, I agree. Corktown right now would be the easiest and cheapest way to get in. I wasn't saying to invest in downtown, as yes I agree, that would be hard. My point is basically that the people investing downtown and midtown have a huge incentive to expand this growth. If Detroit truly "comes back" ( at least Downtown, Corktown, Midtown, Southwest, Brush Park) then they are going to transition from being millionaires to being billionaires. I would not invest in a lot of neighborhoods in Detroit except for a select few. Either way it will be risky, but with risk comes great reward ;)
My perspective is that it's too late to be "getting into" Corktown. 5, 10 or even 20 years too late. Houses in Corktown are going for $100K - $250K, when they come up which isn't very often. It's not a very big area. Prices have been strong and supply has been low for years.
You may be able to find a good deal in Corktown, the same way you can find a good deal in Royal Oak or Troy, by beating the bushes and getting a bit lucky, but Corktown isn't a neighborhood that is just starting to get some traction, making the turn around, getting discovered by gays, hipsters and creatives. It's already there, or more correctly, it was there and now it's getting too pricy.
Ehh I agree that buying at the lowest prices is long gone. It depends what you mean by getting into. 5-10 years ago it would have been scary to invest in Corktown. That would have been a great investment though. It was basically a dead zone after Comerica Park was built. There are still a lot of new businesses popping up in that area right now though. Motor City Wine, Sugar House, Mercury Bar, Detroit Institure of Bagels, Astro Cofee, etc have all opened in the last three years. The neighborhoold is reinventing itself into a hip area and I think there is alot of room left to grow. Even suburbian people go to that area (Slows BBQ). Getting a renter in that area would be easy and with the way rents are going, you could get a great investment at the right price. For me, I'd rather invest in Corktown than Royal Oak. Royal Oak is what it is. Corktown is just getting started. It's riskier, but it could work out very well. If Moroun ever does anything with the train station your investment will be looking pretty good.
Detroit is hot right now with the younger crowd. Wayne State University is a big part of why perceptions are changing for the younger generation. Still a lot of work to do, but there are some promising things happening.
