Here’s our OPINION for the Metro Detroit market (use as a template for your target area!)

Look for properties where you can add value with smart, targeted renovations rather than going overboard.Financing Strategy: Since you're aware of the leverage risks, keep your financing options flexible and conservative.

Personally, I like to target 30% equity retention in each deal.- Section 8 income isn't guaranteed.

Here’s our OPINION for the Metro Detroit market (use as a template for your target area!)

I would recommend targeting 30 day minimum rentals (Most associations are 90+), allowing 12+ rentals per year (most allow 1-3), and no in-person screening for tenants required.

These can be great for making initial connections and learning about specific markets.Since you're thinking long-term, consider spending some time in your target markets to build relationships with agents, property managers, and contractors.

Here’s our OPINION for the Metro Detroit market (use as a template for your target area!)

The investment portion of 3 units equals their reinvestment target of $600K. 

From my experience, one key factor here is to run a thorough cash-flow analysis.. it’s not just about the mortgage payment, but also about unexpected exepnses like repairs and long-term capital improvements.If you do decide to roll that equity into a multi-family, you’ll want to be clear on your target returns.. that way you can quickly spot a deal that’s actually profitable.

Many investors use wholesalers or real estate agents who specialize in investment properties, or they directly target owners with distressed properties.5.