All Forum Posts by: Chris F.

Thanks for the advice guys.

John when it comes to places like CA AZ and NV I think letting the numbers make the call is the best move. If the numbers start to make sense, then it becomes worth investigating.But as you pointed out, I could get 7 houses for a $700 cash flow in another state versus 1 house @ +/- 300k in California for $100 profit. Even commercial has a 6-7% average cap rate-which is lower than one likes to see, correct? It doesn't make sense.

Also, I've heard and read that the bottom is still a ways off in the west, or at least in California.. I'm hearing another 20% drop(on these boards among other places) and another year before the market here starts to bottom. even then I have to wonder if the numbers will add up.

As for Michigan/midwest, I'm from there, and I know that any uptick is highly dependent on the big 3, so until there's resolution there, places like Ohio, Michigan and Indiana will continue to have high vacancies and low appreciation- At least that's how I see it. Of course there are still viable areas in Michigan you can get cash flow out of, if not appreciation that aren't as dependendant on automotive (Ann Arbor, Ypsilanti, are 2 college towns that come to mind). But if I'm wrong, please tell me why, I'm here to learn.

MikeOH will probably have a different view on OH, but I've come to see him as the exception to a lot of general rules.

My problem is that I do not live in a state that caters to cash flow. And while I'd probably prefer to have my properties close to me, I don't have that option.

Plus to be honest, long term I don't want to be spending all of my time unclogging toilets and dealing with deadbeat tenants. I'm interested in working smarter, not harder. And while I'm not afraid to roll up my sleeves, I'm not the hands on type. rehabbing is one thing, screening tenants is another.

Excellent topic. I think it show's there's more than one right way to do things.

as to which is more profitable, that's hard to narrow down, because you have the weigh the opportunity cost self management versus the time you might spend growing your business. I think both models work. However, I also thing you need to be an extremely versatile individual and have a strong background in maintenance and/or construction to do it. For those who aren't as hands on, PM is the only way to make things work.

Mike, you're a talented individual, but the rest of us have to make due with the tools we are given.

Just my 2 cents...

Texas might work. . So you're seeing deals in IE? By that you mean properties that cashflow? I did a quick check and didn't find much- perhaps it warrants a closer look. I noted you mentioned apartments.. I'm looking into SFHs/duplies/triplexes to start.. Not ready for commercial, so that's my market.

I took am curious about how one goes about jumping from residential to commercial properties- this becomes especially important if you want to move to more than 4 properties, so do they taken into account your existing experience with residential as a positive factor in determining eligibility, or is it like the chicken and the egg syndrome?

Where are other CA investors buying? all over?

I know for that question many will say go to a local REI meeting, which I intend to do, but I'm looking for instant online gratification (and a wider audience) here:)

Being in California I'm of course looking elsewhere to invest, and I've considered vegas as one option. The other option I've looked at is Arizona- Phoenix- maybe Chandler area, which seems to be up and coming. Anyone else investing in Arizona? Any potential there?

I'm looking to do buy and hold, providing the cashflow is there, but I'm trying to get a feel for the market- vacancies, employment,etc-anyone?

no one has any input?

I'm surprised the RE agents aren't jumping in on this.