All Forum Posts by: Kerrie Dare

I'm trying to narrow down to 1-2 focus markets for buy-and-hold SFR/small multi-family investments. I've come down to the following options and am curious about any feedback:

1. Huntsville, AL 

2. Memphis, TN (high crime)

3. Charlotte, NC

4. Omaha, NE (steady but not super growth oriented)

5. Columbus, OH

6. Atlanta, GA (already overheated market)

I like all of these markets from a population / job growth perspective and affordability as a new investor. I've included any negatives I've been able to surface in parentheses above.

I'm curious about any major positives / negatives about these markets I might be missing - high crime, new employers, high poverty levels, etc.

Did my first analysis with an attempt at inputting actual expenses versus using 50% rule. This property has slab problems, hence the high repair budget. List at 185K, breakeven from a cashflow perspective around 150K, requires getting to around $115K for CF of around $100/month. About 140 days on the market. I think I get killed on the property taxes and insurance here (just did a sample quote through USAA). Poor Cash on Cash return.

Any additional feedback?

House listing: https://www.redfin.com/TX/New-Braunfels/1514-Devin-Dr-78130/home/33465564

Analysis:  https://dealcheck.io/s/-M5dZ6c...

Assumptions:

• Vacancy: 5%
• CapEx: 5%
• Maintenance: 6%
• Property Management: 8%

I'm about to start analyzing 150 deals over the next 90 days to get more experience. In your deal analyses, are you typically using 50% expense estimates or itemizing expenses? My general idea was to start with the 50% expense in order to be conservative, and then for any interesting properties, diving deeper on the itemized expenses.

New to this so would appreciate any tips!