So, if you fail to apply the correct assumptions to a property, your expectations won’t be met and it may even be a financial disaster.We use the following to rank Property Classes, in order of importance:Property Tenant Pool: closely linked to location, but not always.Property Location: closely linked to tenant pool, but not always.Property Condition & Amenities: it’s important to, “Maintain to the Neighborhood.”Key metrics for each Property Class:Class A Properties:Tenant Pool: Majority of FICO scores 680+, no convictions/evictions in last 7 years.

Hire a builder and now your cost is $350/SF for the same product.7,000 SF lots in these neighborhoods run anywhere from $600k-$800k meaning you're all into the deal for ~$1.7M not including holding costs, staging, commissions on resale, etc.This all means you need to build in a neighborhood that can support a minimum of $650/SF resale.It's possible but it is extremely competitive, and extremely risky.

As of publishing there are roughly 1150 single family listings with a healthy 300 or so pending as we enter into peak shopping season. 

So, if you fail to apply the correct assumptions to a property, your expectations won’t be met and it may even be a financial disaster.We use the following to rank Property Classes, in order of importance:Property Tenant Pool: closely linked to location, but not always.Property Location: closely linked to tenant pool, but not always.Property Condition & Amenities: it’s important to, “Maintain to the Neighborhood.”Key metrics for each Property Class:Class A Properties:Tenant Pool: Majority of FICO scores 680+, no convictions/evictions in last 7 years.

these are the 10ish neighborhoods in detroit where developers are building new housing stock.30+ new build sales in last 12 months: half sold for $227-300 per sqft. half sold for $301-418 per sqft.

You will likely be underwater from day one because the natural buyer is unlikely to pay retail when you sell and customarily the section 8  turn key providers are not seeking out neighborhoods with strong fundamentals that suggest meaningful appreciation will occur.

Rehabbing for a C neighborhood starter home or LTR is very different from rehabbing a luxury home in an A neighborhood.

Basically what I do is copy the entire Zillow listing into a chat and then ask it questions about the property (neighborhood stats, rental comps, cashflow, etc.).

Dry Out the Basement☐ Remove standing water: Use a wet/dry shop vac or a sump pump.☐ Run high-capacity dehumidifiers: Run continuously to bring humidity below 50%.☐ Use fans and ventilation: Open windows and run box fans, blowers, and heaters to speed up drying.☐ Remove wet materials: Pull out soaked carpet, insulation, drywall, and anything organic.3.

Hey Tom, I would start with buying one property that's in a good neighborhood that won't have any expected up-coming big-ticket expenses.