All Forum Posts by: Kimberly Marshall

 The fact that you said you don't use comps tells me that you're not ready to tackle Baltimore.  And honestly, Baltimore doesn't need any more "investors" trying to make a quick buck.  and I don't know anywhere that you can buy a place for $25k and put in $15k and think you rent it or sell it.

And I think you should rethink that cash strategy.  If you find a property that you finance with a hard money loan, rehab it and then refinance it to get all your money back then you have no cash left in the deal and can get cashflow with an infinite return.  I think you should listen to more webinars and podcasts that talk about these strategies.  use your cash to get the property loan and then refinance to get your money back. rinse and repeat.

Interesting that most of these comments are from individuals who do not invest in Baltimore City.  I currently invest in Baltimore city and if you don't know the city, you will lose your shirt.  The issue with Baltimore city is that there are a lot of vacant units because out of state people would just buy properties, not fix them, or became slum lords and then lost the properties.  There is a lot of redevelopment happening throughout the city as well as legislation preventing people from purchasing certain properties and not going anything with them.  There are also programs in place to entice investors and homeowners to purchase the properties and fix them up.  

Baltimore is block to block and most of the homes are very old rowhomes so if you purchase a property for $40,000, it will likely require at least $100,000 in repairs.  Additionally, most properties listed that low right now are auctions that end up closing for double the list price.  here are some examples.  

https://www.redfin.com/MD/Balt...

https://www.redfin.com/MD/Balt...

So I recommend you remove your preconceptions and learn the city.  You have to know which are the best neighborhoods that will give you cashflow versus the neighborhoods that will give you appreciation or both.  you will need to determine your strategy for getting the properties and what you plan to do with them.  do you want to flip or hold.  there are some areas in Baltimore, not by the inner harbor, that will rent for over $2000 per month and those properties could cost between $75,000 and $200,000 depending on the amount of work that is needed.  

I personally dont think this about legalities.  I probably would have done the same thing as your tenants if I were in their situation.  I would just return their deposit, get rid of the roaches for good and then keep it moving for the next tenant.

Yes the margins are thinner compared to previously for sure.  I have had to pass on many properties because the owners refused to budge on their price.  I am also coming across many tenant occupied properties with landlords who are just trying to dump them so there may be an opportunity there

I think it depends on the location. I am in Maryland and am starting to see a lot of properties that were previously under contract start coming back on the market and many price reductions as well. Also, I think that once homeowners realize that their fixer uppers are not worth top dollar, flippers will be able to start making more money again. But in this market, BRRRR seems to be the best strategy