All Forum Posts by: Mike D'Arrigo

@James Viglione those are nice, more affluent areas, so you may find it hard to get anything that will cash flow well. What class of property are you looking for?

@Patrick Gilbert There's no doubt that Indianapolis is a good market, however, as I mentioned to someone else looking to do MTR, I wouldn't dismiss STR in Indy. Indianapolis is the sports capital of the country and also has a very strong convention business. Indy get abooout 29 million visitors per year so you miiight want to consider STR also.

@Sparkle Carlock MTR's can be very good, but I wouldn't limit myself to that in Indianapolis. There is huge potential for STR in Indy. Indianapolis is the sports capital of the country which draws a huge number of visitors, It is also a popular location for conventions. Indy gets 29 million visitors a year so I wouldn't dismiss STR potential.

@Harry Dhaliwal If cash flow is your goal, you don't have much choice but to invest out of state. I'm a native Californian myself so I know what you are facing. I don't know that I would let the high crime rate in Chicago stop me from investing there. Every medium and large city has it's crime and has good areas and bad areas. You just need to know what those areas are. There are other reasons that I wouldn't invest in Chicago however. Taxes which you've mentioned is one, but another major one is that, like CA, they are not landlord friendly at all. I would recommend staying away from any market this is not landlord friendly. You should also look for markets with growing populations. growing jobs and modern/diverse economies. I really like Indianapolis, Kansas City and the Quad Cities. I'd be happy to share some insight on what we're doing there and our experience. 

@Jarvae Everett I see that you're from CA so it makes sense that you're looking out of state? Do you have a particular market in mind? My advice is not to choose a market just because it's inexpensive. It may cash flow in the short term but no  one gets rich from cash flow alone. Real wealth comes from both income and equity over time. Choose a market that has good population, job growth and a modern/diverse economy. These markets will have the greatest opportunity for appreciation and rental increases. The midwest tends to have some of the best opportunities. I like Indianapolis, Kansas CIty and the Quad Cities.

@Nadine Hylton I wouldn't say that there are markets that are good specifically for fourplexes. I think that you're looking for good investment markets in general. That being the case, I recommend looking for markets that are not only affordable and cash flow well. but have strong economic and demographic trends. The most importnat factors when choosing a market in my opinion are:
1. Growing population
2. Job growth
3. Modern/diverse economies
4. Low to moderate property taxes and insurance
5. Landlord friendly

Personally, I like Indianapolis, Kansas CIty and the Quad CIties (Davenport, IA specifically) We've been active in KC and Indy for over 10 years and Quad Cities for the last 2 years. I'd be happy to share my experience and insights if you'd like.

@Jocelyn Martinez My advice is to not limit yourself to vacation destinations. STR's are used for far more than vacations. A STR is essentially an alternative to a hotel. Alot of the vacation destinations have become oversaturated causing daily rates and occupancies to fall. Vacation destinations also have alot of seasonal fluctuation so you have to be prepared for that. Any market that gets a high number of visitors can be a good STR market. Kansas City for instance get 25 million vistors a year and is a good STR market.

@Joe Mathew We've been active i Kansas City for 10 years. I'd be happy to help you if I can. Feel free to reach out.

 You're welcome Aruna. Let me know if I can can be of further help. I'd be happy to chat.