All Forum Posts by: Tri Nguyen

Berea is a great little college town! I went to college in a neighboring town, same county, and rented apartments and houses for the 7 years I lived in the area. There’s a great demand for rentals in the area being as it is a college town and people often don’t intend to stay for long. And then there are people like me who meet their spouses, get married and hang around renting for twice as long as intended, hah!

I don’t have any real investment advice, just some support for the area you chose to invest. I think the town will be a good place to start this adventure!

Best of luck to you! 

Is it within walking distance of the college? That's either 1) on a bus line or 2) within half a mile of the college.  That is not within half a mile of the bus line. lol.  If so, can you rent it to students? Student rentals are able to charge a little more.  They stop paying less and don't hoard, but there is a chance of parties (depending on who you're getting in it).

@Tri Nguyen

1st thing is you should have done your market research initially .

It sounds like you got a c property in a b neighborhood so you need take account rehab cost. Only consider rehab cost if you can can get 16-20% return in next 12 months .

You calculate this by :

Rent bump per unit x 12/ rehab cost per unit = 16-20%

@Tri Nguyen What specifically are you nervous about?

My experience with real estate investing and anxiety reduction comes from putting numbers on things.

-Worried about how much the property will rent for? Use Zillow to seek comps in the neighborhood.

-Worried about how much a new roof will cost? Ask the inspector what’s an estimated range for a new roof.

-Worried about renting to students? Call some local PMs and find out what an average student turnover costs.

More information will reduce anxiety. Keep digging in. You’ll figure it out.

@Tri Nguyen College towns have plenty of property management companies. Call on a few and pump them for information / possibly working for you. They know stuff. Are you in town to see the property? Time to gather a team.

@Tri Nguyen welcome to BP! When it comes to Berea there are pretty high taxes compared to it's neighbors. It is a college town but much different than other standard college towns, ask me how IK lol. I was in Berea a little over 4 years. Good luck with your future investment. Main thing to keep in mind on the inspection report are just really big tickets items like roof, water damage, HVAC, and HWH. Paint and flooring can go a long way in refreshing a space. If you are local you could manage yourself but as an OOS investor you will want to make sure you have solid property management.