All Forum Posts by: Frederick Kuo

 Excellent points Brian and it certainly mirrors a lot of what I've been seeing. So essentially trends that had already existed prior to Shelter in Place are being exacerbated by the onset of the ordinance. Properties that were challenging to sell before, multi-unit rentals with below market rents in rent control cities, owner occupied or tenant occupied SFHs, etc. just become even more difficult to sell in this market. One particular real estate segment that I think will probably suffer a disproportionate hit however would be the commercial retail market. Many retail businesses depend on social gathering and they have been hit hard, and many will probably not return due to the extension of SIP guidelines. They were already suffering from the rise of automation and online retail before and this crisis has expedited those trends. I think this real estate segment will be hit hard and will take the longest to recover if it does, from this crisis.

Look into property management positions perhaps. 

If your zoning allows it, I would add two separate studio units instead of a single 2 bedroom unit. I think that will allow you to optimize your cash flow. Just make sure there isn't a huge discrepancy in construction costs between the two.

If you are getting a good deal based on today's market and the rent covers your mortgage or a significant part of it, I would go ahead. There is no guarantee on what a post-Covid market will look like. Encouraging signs are that interest rates are at historic lows, inventory is still low and property is still moving. I wouldn't worry too much and would move ahead and close. If it is really gnawing at you, perhaps try to raise some of your concerns to the seller to perhaps get a credit or a slightly better deal. 

Thanks for the valuable info Jake! BTW, the more investors the merrier, especially if you already own property!

Thanks for the response, yes would love to know about your experience.

Great list, thanks! Would you say that what I'm looking for would be feasible in the B class neighborhoods around the Cleveland metro?

Hi all. Californian here considering investing in multi family homes in Ohio. Trying to choose between these three cities based on my goals, just wanted to get some thoughts and suggestions from professionals and investors here. 

So I plan to start out smaller, perhaps with purchasing a duplex or triplex in the price range of $80,000 to $150,000. Obviously would like to make sure this is a property that can get decent long term tenants. Cap rates of 10% to 15% would be ideal. Much more concerned about having decent tenants however than getting the absolute highest cap rate. If all goes well, plan on purchasing more. 

Columbus seems to be the most economically vibrant city, however, the price point is higher. Open to any advice or suggestions. Thanks in advance.

It depends, will you be living on the property? If so and you want to live in the city, I say go for it. 

From an investment standpoint however, I'd probably wait a year or two and see how the market pans out. Common consensus is that we have peaked so it's not certain how the next year will unfold.

New here but interested.