All Forum Posts by: Jordan Ray

Hey John, great questions! You're not alone seeing slim or negative cash flow on $200K-300K rentals, especially on-market at today's rates. In Memphis, cash flow is still possible, but it often requires either buying at a deeper discount and adding value through the BRRRR method or shifting to lower price ranges where rent-to-price ratios are stronger. A $250K turnkey in an A- area may rent for $1,600-1,800 here, which won't cash flow well with 7-8% interest unless you put a large down payment, but a BRRRR in the $90-160K range in a solid B/C area can rent for $1,200-1,500/month while allowing you to refinance most or all of your cash back out and keep it moving, letting you stretch your capital further and faster than the "safer" 1% rule strategy on turnkey deals. It's true Zillow and Redfin often won't show the deals you need to make these numbers work, so many investors here find BRRRR deals through wholesalers, direct-to-seller marketing, or investor-focused agents who watch for pre-foreclosures and outdated listings. Also, short-term rentals are growing in Memphis, and a recent client of mine signed up with a local PM I'm partnered with (they only handle STRs) and has been making $5,000/month on just one property, which is another path to achieving cash flow if you're open to an active strategy. Happy to share more if you want example numbers from recent BRRRRs to calibrate expectations and see if Memphis fits your goals as you get started.

Messaging you! Very interested!

Your welcome! Let me know if I can help with anything!

Try out RiverTown Realty! They are the best in Memphis! 

Hey @Robert Bell, thank you for the shoutout!!

@Juan Lopez, 

Welcome to the journey! Out-of-state Section 8 investing can absolutely work, but the key is building a rock-solid team and having eyes wide open about the realities of these markets. I invest in Memphis and work with out-of-state investors regularly, and Section 8 is a strong strategy here if you know how to navigate it. The stable rent checks are great, but success comes down to having a property manager who truly knows how to handle Section 8 inspections, screen tenants properly, and manage repairs in a way that protects your cash flow without constant headaches.

Each market you mentioned—Detroit, Memphis, and Cleveland—has very different neighborhood dynamics, so make sure you’re digging deep into crime maps, neighborhood-level comps, and rent trends rather than just getting excited about low purchase prices. Also, take the time to learn how to underwrite your own deals in these markets before you buy. Out-of-state investing is not “passive” until you have the right systems and people in place. If you want insights on what rents actually look like in different parts of Memphis, what areas to avoid, or how the Section 8 process works here, feel free to shoot me a message anytime. Happy to help you get started and avoid the common pitfalls that stop many new investors before they really get going.

Awesome! That will definitely be helpful for sure!

Hey Cody — just saw your post here after replying to your DM!

Glad to see you diving into the Memphis market. You’re in a strong spot for real estate—Memphis is known for solid rental demand, especially in blue-collar neighborhoods where investors can still find decent cash flow and value-add opportunities. That said, some areas can be very block-by-block, so learning the zip codes and local trends is crucial.

One thing I always tell new investors: even if you're not ready to buy yet, start running deal analyses now. It's the best way to understand pricing, rents, rehab costs, and what makes a deal here actually work. Over time you'll get a feel for what a “good” deal looks like and what to avoid.

Feel free to reach out anytime if you want to run through numbers or talk strategy. Always happy to connect with serious folks putting in the work.

Hey Claire! Is their anyone in Memphis more awesome than you guys? Probably not! To anyone that sees this post, contact @Claire Davis or @Robert Bell for 100% hard money up to 75% of the ARV or DM me if you want to hear my personal experiences using their loan product to build my portfolio!

Wow! That's not a situation I have ever experienced. By chance, do you have any ties to the military and can get USAA? That's who I use. Otherwise, you could try the other big ones: Progressive, All State, Farm Bureau, etc.

Awesome! I will DM you my calendar link.