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22 January 2025 | 31 replies
that we’ve learned in our 24 years, managing almost 700 doors across the Metro Detroit area, including almost 100 S8 leases:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.
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27 January 2025 | 48 replies
The more hands off you get, the lower the returns.
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14 January 2025 | 8 replies
This implies residential units can be built at lower costs and provide better return. 11) adding an ADU to SFH can make the SFH fall under rent control.
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21 January 2025 | 14 replies
I haven't heard of that company, but if you are looking for done-for-you real estate investing then just know that your returns are going to be significantly lower.
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6 February 2025 | 42 replies
Some of these areas have lower purchase prices but solid rental demand, making them ideal for strategies like BRRRR.I spend my time scouting off-market distressed properties, and I’ve noticed that investors are having a lot of success in secondary cities just outside major metro areas.
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12 January 2025 | 25 replies
I used the lower of rent amounts for analysis. https://www.biggerpockets.com/analysis/rentals/ee5f6928-93ce... is link to the BP Calculation on it.
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13 January 2025 | 2 replies
In this case, your monthly payment with 20% down will have a good MARKET rate if your DTI works with a much lower month payment and no mortgage insurance(MI).
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15 January 2025 | 14 replies
You can use the "bad roof" or other problem to negotiate a lower purchase price.
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13 January 2025 | 11 replies
I know I already mentioned this, but @Mordy Chaimovitz...If you can get by with lower cash flow and invest for the long-term generational wealth (aka appreciation) in nice neighborhoods, that is the way to go, but it's tough to get by at times -- at least it is for me.Just know everyone's situation is different, and you should do what is best for your specific circumstances!
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15 January 2025 | 7 replies
The numbers may be 30-40% lower than today's cost, but the process/approach to estimating may be good for you to review.