All Forum Posts by: Jayson Lesyk

@Kristopher Hanks

I'm just curious; Do you only work with fix/rent deals or do you also structure some of your rehabbed homes as lease-to-own? Thank you!

As a side note a more experienced investor friend of mine's father is a contractor if I remember correctly. I'm not sure exactly what his territory is, but he might be worth a shot. Contact @Alex Janesz!!! Hope that helps.

HElko Susan, welcome to the Cleveland market!

Lakewood and the surrounding areas are super popular with investors right now, many being out of state like yourself. In general the west side is hot, hot, hot right now!

Everybody wants to live there, rent there, be there, open businesses there, and invest. Large millenial renting population over there. Do your research because there's a lot of competition over there right now but that's because there's also opportunity!

Good luck on the West Side and if you ever want to look into the east side feel free to contact me anytime, I'm extremely familiar with most of the lower east side cities.

Let me be clear. I'm not telling you not to buy the condo. I'm just saying there's no way in hell I'd ever even consider it.

Period.

Now SFR's, a duplex or triplex, apartments in W Heights, thats a totally different story. But a condo no way. I just don't see the profitability there. Especially not at 40. Maybe at, dare I say under 15 TOTAL, purchase/ rehab/ closing/ due diligence, and even then you might be hard pressed to come up with $125 a month cashflow on your investment. Words/food for thought.

Sorry for a delayed response Ohad.

1. A. Please share your numbers. I'd choke if someone told me there was a 1 or 2 bed condo deal in Warrensville heights spitting out 400 a month in cashflow @40k invested!! Sounds too good to be true.

1. I'm not aware of many investors working in Warrenville heights, maybe because I am inexperienced and unaware of them, maybe because they are not there. I am guessing in realty it's a mix of both. If you plan to ever get out and sell to an investor this may be difficult. The entire hot Cleveland investor market is on the west side right now (side note; this is specifically why I'm not interested in the west side right now, too much competition, inflated prices, and I'm familiar street by street with many east side suburbs, I'd suggest focusing east or west side and getting to know one or the other to start, they're night/day different). This means selling is purely to the retail buyer market, that may prove difficult in Warrensville heights a less desirable city to many next door; beachwood, solon, and orange village. All are very solid A+ neighborhoods and will be for the next 10-20 years at least. There are parts of Solon that are B+/A- but that doesn't make them any less attractive to an investor or renter.

In other words I would be very careful in buying a condo in an essentially C+/C area surrounded by many B+ and better areas directly adjacent.

2. See my argument to question 1.

3. See my argument to question 1.

Let me know if I can help further.

Welcome Ohad!

If I could offer my personal experience in that area I think you're discussing the C+ area of W Heights near Bedford Heights business/commercial area. There's two popular local bars near by; Scorcher's offers outdoor sand volleyball courts, and the Winking Lizard has over 100 different craft beers in bottle and over another 20 on tap. Downtown Solon is less than 10 minutes up the street. And you can access downtown in 20-30 minutes, 40 in the worst of traffic. You also have access to both 480 AND 271 literally just around the corner. My only concern for you is that in the East side Cleveland market you can find good SFR and small MFR properties. Why deal with a condo HOA eating up all your profit? Any particular reason for this strategy.

Message me and let me know if I can help as boots on the ground/ local help! I've lived 22 of 25 years right up the street.

@Raeshelle C. I am in almost exactly the same situation as yourself! I have been approved for 130k through an FHA loan with around 4-5% down. The huge difference is I live in Cleveland, with a market where 130k buys something pretty nice. It looks like you're near boston, but possibly far enough out of the city that 130 is enough for a starter multi-family in a C-/+ neighborhood? Personally, in my situation the numbers look best for me investing on my side of town where I have lived and know the townships like the back of my hand. Triplexes with at least 2 bedrooms per unit seem to give me the best cashflow time and time again when I run the numbers. However, I'm sure a fourplex would be even better if I could find the right one.

Being that you are in a tenant-friendly state, do you think you are ready to take on living side-by-side with tenants? I have never done it, but, I am optimistic that in my state and the cities I am looking to invest, that I will be able to self manage at least 5 properties, or 10-15 doors successfully, whichever comes first. Just a few thoughts. It seems like you have definitely put your own time and thought into it. We should keep each other informed on our progress! 

* Check with your lender; but, I'm fairly sure your FHA approval is good for multifamilies up to 4 units.

@Gene Mattos : Hello. I'm a new investor from the East suburbs of Cleveland in search of my first deal. I am looking at rental properties in the areas of Garfield, Maple, and Bedford so your property experience would certainly be relevant to me.

May I ask how many bed/baths and the size of each unit? I'm presuming this was a HW 'turn-key'; in that case what sort of cap-ex do you expect over your ownership period beyond that related to tenant turnover and PM? 

 Newbie investor here but a Cleveland native for all 25 years of life!! I would agree with everything you'really saying, especially Tremont! Personally I think it's a gold mine if you can get in at the right price. The only correction I would propose is that Parma is a solid C+ to B+ area but not A class. Some may consider certain pockets, but I would personally say you have to go as far out as Broadview heights/Brecksville (south), north Olmsted (west), and rocky river/bay village (northwest) to get into solid A neighborhoods on the west side.

With that said I wouldn't take anything away from Parma. The west side dosnt change street to street as much as the east side so focusing on a city as a whoke would be more appropriate than on the east where you should definitely have intimate knowledge of a potential property and the surrounding area. Personally if I planned on investing on the west side I would be in south Parma and west Lakewood.

*** My Disclaimer: I grew up in a solid A neighborhood on the east side. And have also lived in F Cleveland proper neighborhoods.

@Axel Ragnarsson

You're an inspiration! I'm 24, almost 25, just starting out into REI. Hopefully will have my first property by my birthday and I'm looking to acquire a total of 10 by 30, with at least 15 units throughout. Seeing all the young investors here sharing their stories of how everyone is getting started is just more proof that this is more than possible; you just have to go out there and do it!

Much admiration for what you're doing. Seems like the numbers are working for you. Keep it up!

Is anyone investing in Bedford Heights SFR and MFR, particularly in the Bedford Ridge Estates subdivision? I'm curious as to whether the subdivision has an HOA and how much $$$ that will be costing annually (do they issue a lot of assessments). If anyone has had an experience in this subdivision I would love to hear about it or any general advice on that particular section of BH. Thanks in advance!