Arturo-Jay
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- Aug 21, 2011
- 40
- 9
Hello everybody,
I mostly lurk around here.
Now here's some background:
I'm a 24 yr old professional and student. I just decided to go back to school Jan 2013 as my backup plan. Accounting/CPA is my degree and specific area I want to work in.
Anyways, I bought my first residence at 23, have lived in it for almost one year. The location is beautiful, kind of a "55+ neighborhood" but not officially. Crime is almost non-existent in this suburb. Lots of nice wooded areas with deer going through the yards and coyote sightings, etc...
My plan is to pick up my 2nd home, purely as an investment property. The area would be quite foreign to me. Right outside of Detroit you can find a decent house for cheap, and there looks to be lower crime areas outside of Detroit.
My budget is 20k, and I'd be looking for a 3 bed 2 bath, 1,000 sq feet+ home. Rent could be around $700-1,100. Is this the ballpark for the area? And at this price, probably would need to budget for some repairs...
I was looking at the areas of TAYLOR, ROMULUS, WARREN, or OAK PARK. Am I crazy, or are these areas doing OK? They seem to be much lower crime than deep within Detroit, but the prices are still very low.
Second part of the plan is to rent my current home out for a huge cashflow. $1,400 monthly rent, mortgage and association runs me $730. So around $700 cash flow, plus the MI property would be around $500+ cashflow.
The area I'm currently in is upper middle and lower middle class, but high demand.
I recently bid on a duplex in Minneapolis, MN. Landlord could not prove the renters actually pay the rent on time because he claimed it was 100% cash payments. It was contract for deed and I only offered 10% down with balloon in 3 years, because I figured I'd be evicting these animals and having to do extensive repairs.
Needless to say, they rejected that offer right away. It was a rough neighborhood anyways, nothing lost.
I will go back and pitch a 2nd offer in 6 months if it's still on the market.
So what do you think of my Michigan idea? I would find a property management company to manage it most likely.
I mostly lurk around here.
Now here's some background:
I'm a 24 yr old professional and student. I just decided to go back to school Jan 2013 as my backup plan. Accounting/CPA is my degree and specific area I want to work in.
Anyways, I bought my first residence at 23, have lived in it for almost one year. The location is beautiful, kind of a "55+ neighborhood" but not officially. Crime is almost non-existent in this suburb. Lots of nice wooded areas with deer going through the yards and coyote sightings, etc...
My plan is to pick up my 2nd home, purely as an investment property. The area would be quite foreign to me. Right outside of Detroit you can find a decent house for cheap, and there looks to be lower crime areas outside of Detroit.
My budget is 20k, and I'd be looking for a 3 bed 2 bath, 1,000 sq feet+ home. Rent could be around $700-1,100. Is this the ballpark for the area? And at this price, probably would need to budget for some repairs...
I was looking at the areas of TAYLOR, ROMULUS, WARREN, or OAK PARK. Am I crazy, or are these areas doing OK? They seem to be much lower crime than deep within Detroit, but the prices are still very low.
Second part of the plan is to rent my current home out for a huge cashflow. $1,400 monthly rent, mortgage and association runs me $730. So around $700 cash flow, plus the MI property would be around $500+ cashflow.
The area I'm currently in is upper middle and lower middle class, but high demand.
I recently bid on a duplex in Minneapolis, MN. Landlord could not prove the renters actually pay the rent on time because he claimed it was 100% cash payments. It was contract for deed and I only offered 10% down with balloon in 3 years, because I figured I'd be evicting these animals and having to do extensive repairs.
Needless to say, they rejected that offer right away. It was a rough neighborhood anyways, nothing lost.
I will go back and pitch a 2nd offer in 6 months if it's still on the market.
So what do you think of my Michigan idea? I would find a property management company to manage it most likely.
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