All Forum Posts by: Shane Kelly

I can go ahead and say looking in Cleveland you will definitely find above a 1% rule here at the $100000 range. But $100000 will get you something in a C or lower area in most places of Cleveland (but there are exceptions to this). I would highly recommend property management if this will be your first SFR, but use BP as leverage to find a good one. It has been said many times before that your PM can make or break a deal as an OOS investor. Especially a new one.

Where is the property located? City and zip code would help to narrow down as to what PMs service that area.

There are quite a few multifamilies in Cleveland you can buy with $100k down. If you're doing this OOS like it sounds like, you're gonna need a decent sized team to make that work. I like your initial thought here as making these connections will be pivotal to making this work.

I will agree with the masses and say that if you could find property that only needed exterior work and could get 25-35% value add, it would've been done already and everyone would be doing it. I can say though, in my area on the West-side, I've seen houses that were outdated be fixed up and brought to quite a premium. If you can find micro-markets in Cleveland that can sustain it, it is still possible to take a property and breathe new life into it and make a pretty penny. 

I plan on house hacking in the near few years too, and funny enough, I was looking at duplexes in Old Brooklyn area for when I do it. So I may know a thing or two to help you out. I respect your ambitious goals and hope that you will achieve them! If there's any way you think I can help you reach them, shoot me a message.

Agreeing with pretty much everyone here, I think you should take leverage out here before HELOCing. Could also depend on where you may think interest rates will go in the future.

Well said in the post above ^. To add to what he said, if you have an investor mindset (which you likely do if you ended up here) then house hacking just to get a discount on your mortgage payments is probably more appealing that the alternative. But yes, I would highly recommend that you run the numbers as if it were a rental. And it is not a bad thing to be too selective. I would prefer that rather than ending up buying a "deal" that loses you money after you move out.

Look up David Streeter for the attorney. Have worked with him extensively, he does great work.

Snow removal cost is something you will have to plan in if you choose to invest anywhere that snows regularly every year. Simply make sure that you are including these costs in your calculations to make sure that you are not missing on an expense. Do keep in mind too that in the winter there is no need for lawncare, so those expenses can be moved out of the equation for some time, helping offset any increases in cost during winter months. Also, Akron will suffer from snow nearly just as much as Cleveland. I wouldn't let that sway you from a market entirely because of lake effect for lakeshore properties.

Very interesting comparison. Both are the exact opposites, which makes them perfect investments for opposite people. This is why the question "Where should I invest?" has a different answer for everyone.