All Forum Posts by: Patrick Rowell

Well Geeze!  You guys just skewered my whole strategy. Problem is, I’m in Indianapolis where, 1/4 mile outside of downtown, in any direction, is C to D class neighborhoods. You got to get out to the burbs where I live to get “quality” properties.  To be sure, there’s a LOT of movement in select neighborhoods where properties are being rehabbed to B+ or new homes being built. Clear evidence of gentrification, but it’s a slooow process.   Anyway, those “hood” properties are plentiful, although the deals push the limits.  Sum to say, I had thought that was the way to go. Buy and rehab.  But this post seems to suggest that’s riskier than paying too much for a quality property.  \/O\/

Hi Team,

I'm evaluating duplexes in my area. There are hundreds (it seems) to choose from, all are Class C, -C in a slowly gentrifying areas. But, I'm struggling to land a deal, mostly because most deals are pushing thresholds on all metrics (e.g. 1%rule, CapRate >7%, DSCR =>1.25, etc.). But, others are snapping them up. Mostly out of state investors. But why? What am I missing that they all see? Am I wrong or are they?