I agree with most of these comments. I specialize in buying, rehabbing in St Pete. Mostly in S St Pete, but I own in N Tampa as well. The cash flow is great, as stated above. My advice is being hands on, I would not recommend this type of investing to someone out of town and most of the Property Management companies have issues in the south St Pete areas. But a combination of Section 8 housing and market rentals is a solid investment. I would not focus on appreciation in these areas, as most houses are re-purchased by another investor looking for a deal. As someone stated above these areas are improving but it is street by street knowledge. Literally. I have bought dozens of homes in the $30s pumped $20k into them and rent them out for an average of $950 a month. I do self manage my properties and a few others for some local investors. Also, manage my own staff of craftsmen. Again, this is not for everyone. I have found 35% will only stay one year and the homes need a full turnover. So I calculate my return based on 11 months. If you are skittish about these areas, spend a bit more and focus on north of 5th Ave N in Pinellas. I am doing a rehab there now, purchased a 3/1 for $78k putting in about $30k. Will rent for $1250. But there is appreciation opportunity. Overall, most deals are disappearing. Lots of investors buying. I was lucky enough start 3 years ago. I am currently holding my properties, collecting rent, and only picking up select deals for all cash. It is all about the ROI on the monthly rentals. If any wholesalers are reading this, I am still buying well priced units, any condition.
