All Forum Posts by: Kyle McCorkel

@Becky Joyner

Exactly. Who, in good financial standing, will rent a place for $1000 or $1200 when they could buy the same place with an FHA loan, for only a few thousand out of pocket, with an interest rate of 3%, and the mortgage might be only $700?

The only demographic that has a better chance of being more qualified are the young 20-somethings, maybe they are single or recently married, and not ready to buy yet. But they’ll only stay for a year or two.

@Steven Jefferson

The other responses did a great job. I’ll add/reiterate the following:

We’ve got great population and job growth, and it’s STABLE. The jobs come from a diverse spectrum of industries. That equates to less risk, the job market is strong therefore your tenants will (should) be able to find employment and keep paying you rent.

Low cost of living and that includes housing. It’s a double edged sword because that means most people with a decent credit score can afford to buy a place. Then (most of) the only people left renting are very financially unstable. You gotta be strict when screening tenants and wait for the good ones.

I live on the East Shore (Dauphin County) but I’m in love with the West Shore (Cumberland County) for investing. Lower taxes, better schools, better tenants, and better employment opportunities and even better/more shopping/restaurants.

You will notice that us locals have a weird tendency to speak in terms of East Shore vs. West Shore. We are referring to which side of the Susquehanna River. Most of us will admit that it’s weird, but there is a difference between the two, partially real and partially perceived. Either way you’ll want to learn about those differences.

We have a lot of really old houses. 100+ years old. If you buy one you’re signing up for all kinda of extra funky issues. I buy them all the time, but I’ve gotten used to it. The rehab can really bite you in the butt if you aren’t really conservative in estimating. Expect to replace everything, unless you’re buying it turnkey. If it’s “turnkey” you should expect it to have all new electrical, plumbing, roof, windows, and HVAC.

Our appreciation is very slow moving. If anyone tells you “this area is up and coming” in Central PA that doesn’t mean it will be gentrified and worth 100% more in 1-2 years. That means 5-10 years here.

Overall, we generally keep pace with inflation, possibly a little less. Our home prices stay low, which plays into the affordability that I mentioned above.

@Michalyn Clinger

I’ll never say it absolutely can’t be done, but I’d advise against it. I’m in Central PA close to Harrisburg and I think there’s a good amount of 2-4 unit properties. There’s still an undersupply, sure, but that applies to single family and pretty much all residential right now.

And yes, they’re old for sure. That’s probably the biggest red flag. But, there’s somewhat updated or at least well maintained ones out there. I own several 2-4 unit properties in the area and they do well. But I did need to spend a lot to get them updated.

I just think there’s a steep enough learning curve in real estate, building new introduces a bunch of complexities. But hey, it’s not my wheelhouse, maybe it’s just as complex as buying a 120 year old property.

@Jake Ernst

Welcome to BP! I have a 3 unit in Carlisle that we are rehabbing currently.

@Jeff Kennedy @Mary K.

Look up a post titled “Lightning Strikes Twice” or something like that.

@Darius White

There definitely will be unless the dollar becomes worthless and we end up buying properties with animal skins.

And still there will be cheap properties.

I'm buying 3 units for $64k. With an ARV of $300k.

The “wait until the dust settles” crowd is assuming you are buying at market price. If you buy at a significant discount, who cares about short term fluctuations in the market price? Especially for a long term buy and hold.

@Mary K.

@Rich Solano

I put in a full waterproofing system.  It was an interior french drain and was very extensive.  The property had water issues for decades, and we were demo'ing everything in the basement anyways, so I felt I needed to put in something I could count on.

I used Palmyra Waterproofing and they were great.  Timely and beat other competitors on price, plus I didn't get a drop of water in the basement afterwards despite multiple heavy rains.

@Travis Wells

I’ve been using Open Letter Marketing and they seem to do a very good job.

As @Jerryll Noorden would suggest, I’m also focusing more on developing a kick@$$ website in parallel to my direct mail efforts.

Anybody?