All Forum Posts by: Joe Hammel

The City of Detroit has a high barrier to entry because it is so complex. Locations can have a $500,000 house and on the other side of the street a $20,000 house with low likely hood of appreciation or ARV. The City will make a lot of people Rich some day when it makes a full comeback. These are the individuals who have spendtan insane amount of time studying. It can definitely be done, just be cautious of being sold on a bad buy. Study or ask about these; Realtor.com crime map, niche.com, neighborhood appreciation, accurate comparable rents and properties. Build a trustworthy team. Some try to genuinely help, some try to get your money. Initially, it can be hard to tell the difference.

I personally prefer the reliability of the suburbs. The cities closely neighboring the city have a great combination of ROI, cash flow, appreciation, and "location". Depends on your desired entry point of each of these criteria, which one you should choose. If you give your desired ROI, Cash Flow, rehab amount, and Neighborhood (A,B,C,D,F) I can point you towards the appropriate market.

Good Luck!

Pre-Foreclosure lists are found in Public Records in the County Recorders Office. 

Looks like you've done some good Homework, those are great selections. Warren and Redford are both great investor markets. Northern Warren will be closer to your B neighborhoods, but Southern Warren will have lower entry point (closer to C neighborhoods). These 2 markets are my favorite for perfect balance of neighborhood, purchase price, Cash on Cash ROI, and cash flow.

Example: Buy $60-80k, Light cleanup, couple updates, rent $900-$1200. 15% ROI, $300/door cash flow.

Examples can go up or down depending on rehab and buying preferences. Let me know if you want specific property examples and investor analysis reports.

Good Luck!

@Rassan Sampson Nice. East English Village is definitely an up and coming area. Hopefully you will at least win, in the long run with appreciation.

@Matthew Hoef It's a pretty competitive market right now. The first week or two a house is on the market, low offers generally aren't accepted because they're getting plenty of "good" offers. As Days on Market increase, It's either because seller refuses to come down in price, or this is then the opportunity to make the lower offers.

I find a lot of folks distracted by "getting a deal". A deal isn't measured by getting it lower than asking price. It's just measured by the numbers. A lot of times sellers are asking fair prices and you can buy turn key 15% ROI and $300+ cash flow. We have a few of those markets here in the metro area.

I hope your Story is turning out Great!!!! Would love to hear what you decided and how its going...

@Jake Douglass The South Warren was pretty good advice. Ferndale is quite expensive. Redford is another market, buy something for $80k rent for $1100-$1200 with nice ROI and Cash flow. Taylor, MI is another good one.

@Rassan Sampson Well thanks for the update! What location did you end up buying in? Remember what Brandon Turner says, that first deal, it only matters that you took the leap, because now you're able to do another, and I'm sure you've learned a lot. 

The BRRRR strategy can be fantastic here. Just need to run good ARV Comps and an accurate Rehab estimate and the rest is going through the motions. Redford, Warren, Hazel Park, Westland, Taylor, Melvindale, etc.. The suburbs closely surrounding Detroit, have some really good numbers for this.

Lol "who needs vowels" That's awesome. Welcome Brandon. I'm in Southfield. I love some of the markets we have here. Great ROI and Cash Flow. Curious how you're wealth building is going so far..

Sounds like a great plan @Jonathan Travieso

There are some great markets here for cash flow and ROI. What markets did you have in mind?