All Forum Posts by: Greg Bensley

Hey Joe, 

I'm also a licensed agent in the area with New Western. Would love to connect and chat about getting some investment deals in front of you to take a look at! Happy to work with you to get started on your first investment

Quote from @Bonnie Low:

Quote from @Greg Bensley:

The average rental rate in Raleigh is well below the average purchase price. If you're looking for a buy and hold in Raleigh in the current market conditions, cash flow will be tough to find off the bat. That's where you'll have to bank on forced appreciation with value add and year-over-year appreciation

 I'm curious what YOY appreciation you're seeing in the Raleigh market?

Median sales price in Raleigh was around 300k in January 2021, and in just 2 years median sales price jumped to around 412k in January 2023. The market is definitely correcting in present time, however, median price is floating around 400k in the last 6 months. 

The average rental rate in Raleigh is well below the average purchase price. If you're looking for a buy and hold in Raleigh in the current market conditions, cash flow will be tough to find off the bat. That's where you'll have to bank on forced appreciation with value add and year-over-year appreciation

Quote from @Pat Lulewicz:

There's generally a difference in asset type in Durham vs Raleigh, especially with most MLS flips in Durham being downtown where the areas are still quickly gentrifying, assets are 70-100+ years old, home size is significantly smaller than suburbs and parking can be challenging. These are all huge factors in both the renovation process as well as the resale market and what the end consumer is looking for. It's "much easier" to flip a 1970s 3/2 ranch w/ 1200 sq ft in S Raleigh or Garner vs a 1930s 2/1 bungalow w/ 720 sq ft and street parking in Durham. Especially when the $/sq ft on comps in Durham will be significantly higher than its competitor in Raleigh. You need more meat on the bone when dealing with older assets and it can be tough to find it and substantiate the work-to-profit ratio.

Flip the conversation (pun intended) and if you find that ranch style product in the Durham "burbs" like around South Point, then its a no-brainer. Too broad of a question to summarize an entire city's investment activity just like it's too broad of a statement to speak on an entire state's outlook in one blanket response.

 Pat, appreciate the swift and detailed response! I was just looking at pure statistics on the market there. Parking space is a good point to touch on, as well as, the age of homes in Durham. How do you think it will change in the future?

What does everybody think about the current market status for house flipping in Durham, NC? Median sales price in Durham county hovered right around 400k in March, which is close to 12k over the median sales price for the entire Triangle MLS. Supply has been trending down from 1.9 since October 2022, which has a direct correlation with the median sales price driving up from around 375k at the start of 2023 to where it now lies. DOM is incredibly low at a median of just 3 days. Anybody have any thoughts they'd want to share? Concerns with investing in Durham? I've seen plenty of Durham flip deals get passed on and was wondering why this might be when the market data is incredibly strong

Hey Kristin,

It all depends on the required frontage feet of a lot in the city or county code. I would reach out to them and explain the situation to see if it's doable. The rest of the process just involves getting a surveyor out to the property to walk the property lines and see how it can be divided if possible based on the frontage feet. 

Quote from @Jon Puente:

Hey Greg,

You should definitely reach out to my friend John Fortier about this. He does a lot of fix and flip in that area.  I would say that its best to fix and flip, because prices are very cheap and you can normally get a great deal.  HOWEVER, if you like the idea of collecting checks every month, then buy and hold! Nothing wrong with it. 

Let me know if you want his information, just DM me.

Thanks!

 Jon, 

This is a great point! I have seen more investors float towards flipping in the area rather than buying and holding. You can find the right buy and hold deals since the market rents in the area are relatively high, however, the short-term return on scaling flips in the area is more appetizing

Hey all,

Looking to connect with like-minded individuals who have interests in the real estate market in Fayetteville, NC! What are you thoughts about where this market is headed? Is it best to fix and flip or buy and hold in this market? Please let me know what you think, always looking to add value where I can or listen to the input of others!

I would recommend Priority Cleaning, you can find them on thumbtack

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