Investing in South Bend real estate

[Hautian Domer]

This is something I've contemplated for a little while. I have a good "family-business" job in Terre Haute. My mortgage is paid off, no student loans, my retirement and brokerage accounts are steady, and my kids' 529 accounts are also steady.

I've been thinking of investing in real estate in South Bend for a number of reasons, namely: I don't want to rent nor do I trust Indiana State students (Terre Haute is off the table), I went to Notre Dame and find myself going back a handful of times a year, unlike Terree Haute, I believe the city has some potential and growth, despite the traditional Tri-Campus living arrangements (dormitories), I like the fact that South Bend is home to Notre Dame, Saint Mary's, Hold Cross, and nearby Bethel, the cost is relatively low, I also like the idea of renting out the home for home games and/or staying there for the games that I attend (Rent Like A Champion and the hotels are $$$).

Can someone give me any tips or pointers. Does the areas around the universities have any good deals or, in your opinion, are the prices already inflated?

I really like the Sunnymede area near Potawatomi and south of Jefferson), but the I'm uncertain of the value.
What about south of campus and directly east of Twckenham?
What about the area directly north of the Warren Golf Course and 90?
Any neighborhoods to avoid (not looking to West South Bend) or any neighborhoods your foresee gaining in value?

I really would like to invest in South Bend, but do you think its wiser to look at Mishawaka and Granger? Where are they grad students living? A IU-South Bend med student or a ND law student would be the ideal tenant...as they're older, more responsible.

 

[NDFAN420]

I believe the city has some potential and growth,

tips

Based on what metrics? I'd do more excel work on that. They've got their REDS plan, but I don't know whether that's feasible going forward.

Buy as close to campus as possible.

 

[a mike]

Real estate = risky

And you're sounding maybe a little risk adverse from the post

My unsolicited $0.02--

I actually think you'd make much more $$ and it'd be much easier if you managed properties in TH. At a minimum to just get a little taste of it and see if its going to suit your temperament. Managing real estate can be very stressful for some

Also unless you're planning on hiring a property manager its going to be very difficult managing properties 3.5 hrs away--especially if you're talking 1-4 family homes

Also you're mentioning a few different things. Mention renting it out during or staying there for home games but then also looking for bullet proof grad student tenants as though you're going to make a full-time dedicated rental?

If South Bend is like most other markets--you will never even see the "good deals" All the established property mgrs will scoop them up first/quick thru relationships with local real estate agents. Or the real estate agents will just take them

I wouldn't automatically get turned off by TH because you think the market isn't great. Property always appreciates and any gain you make will get taxed anyways unless you do some exchanges

If you're a small business owner you might want to bounce your ideas off your CPAs. They usually have small property owners and might be a good resource

Good luck!

 

[NorthDakota]

Rent to girls if you don't want the place destroyed

 

[Hautian Domer]

Real estate = risky

And you're sounding maybe a little risk adverse from the post

My unsolicited $0.02--

I actually think you'd make much more $$ and it'd be much easier if you managed properties in TH. At a minimum to just get a little taste of it and see if its going to suit your temperament. Managing real estate can be very stressful for some

Also unless you're planning on hiring a property manager its going to be very difficult managing properties 3.5 hrs away--especially if you're talking 1-4 family homes

Also you're mentioning a few different things. Mention renting it out during or staying there for home games but then also looking for bullet proof grad student tenants as though you're going to make a full-time dedicated rental?

If South Bend is like most other markets--you will never even see the "good deals" All the established property mgrs will scoop them up first/quick thru relationships with local real estate agents. Or the real estate agents will just take them

I wouldn't automatically get turned off by TH because you think the market isn't great. Property always appreciates and any gain you make will get taxed anyways unless you do some exchanges

If you're a small business owner you might want to bounce your ideas off your CPAs. They usually have small property owners and might be a good resource

Good luck!

"
I actually think you'd make much more $$ and it'd be much easier if you managed properties in TH. At a minimum to just get a little taste of it and see if its going to suit your temperament. Managing real estate can be very stressful for some

Also unless you're planning on hiring a property manager its going to be very difficult managing properties 3.5 hrs away--especially if you're talking 1-4 family homes


Also you're mentioning a few different things. Mention renting it out during or staying there for home games but then also looking for bullet proof grad student tenants as though you're going to make a full-time dedicated rental?"
I guess the underlying goal is to eventually get back to South Bend. I think that's feasible should my kids ultimately attend ND, Holy Cross or Saint Mary's - obviously, the ultimate choice is theirs. I've got some time, but by then, I should have more flexibility and wouldn't require a daily physical presence in TH.

The goal would be to initially buy a triplex or duplex (maybe a single family residence if the price was right and it had the requisite number of rooms and square footage). If I had a triplex or duplex (or two), I'd look to a property manager and eat the 10%. If it was a single-family residence, well, then I'd look at a 12-month lease to graduate students or look into the AirBnB route for ND football games, move-in weekend, commencement, etc. It would just depends on numerous factors.

"If South Bend is like most other markets--you will never even see the "good deals" All the established property mgrs will scoop them up first/quick thru relationships with local real estate agents. Or the real estate agents will just take them

I wouldn't automatically get turned off by TH because you think the market isn't great. Property always appreciates and any gain you make will get taxed anyways unless you do some exchanges"

I hate TH so much. Born and raised here and now I'm back. I guess I knew I'd ultimately be back, but one of the reasons for buying in SB, while nothing to write home about, is that it would bring me one step closer to getting out of TH. In due time....in due time...

Do you know how to get insider deals? Watch for foreclosures? Should I buy in TH, nothing would prohibit me from doing a 1031 and buying in South Bend, right? Meaning, it doesn't have to be in the same city, county, state? Is that correct?

 

[MacIrish75]

"
I actually think you'd make much more $$ and it'd be much easier if you managed properties in TH. At a minimum to just get a little taste of it and see if its going to suit your temperament. Managing real estate can be very stressful for some

Also unless you're planning on hiring a property manager its going to be very difficult managing properties 3.5 hrs away--especially if you're talking 1-4 family homes


Also you're mentioning a few different things. Mention renting it out during or staying there for home games but then also looking for bullet proof grad student tenants as though you're going to make a full-time dedicated rental?"
I guess the underlying goal is to eventually get back to South Bend. I think that's feasible should my kids ultimately attend ND, Holy Cross or Saint Mary's - obviously, the ultimate choice is theirs. I've got some time, but by then, I should have more flexibility and wouldn't require a daily physical presence in TH.

The goal would be to initially buy a triplex or duplex (maybe a single family residence if the price was right and it had the requisite number of rooms and square footage). If I had a triplex or duplex (or two), I'd look to a property manager and eat the 10%. If it was a single-family residence, well, then I'd look at a 12-month lease to graduate students or look into the AirBnB route for ND football games, move-in weekend, commencement, etc. It would just depends on numerous factors.

"If South Bend is like most other markets--you will never even see the "good deals" All the established property mgrs will scoop them up first/quick thru relationships with local real estate agents. Or the real estate agents will just take them

I wouldn't automatically get turned off by TH because you think the market isn't great. Property always appreciates and any gain you make will get taxed anyways unless you do some exchanges"

I hate TH so much. Born and raised here and now I'm back. I guess I knew I'd ultimately be back, but one of the reasons for buying in SB, while nothing to write home about, is that it would bring me one step closer to getting out of TH. In due time....in due time...

Do you know how to get insider deals? Watch for foreclosures? Should I buy in TH, nothing would prohibit me from doing a 1031 and buying in South Bend, right? Meaning, it doesn't have to be in the same city, county, state? Is that correct?

You could buy the building where 6th Ave used to be. Now that’s an investment opportunity…

 

[arrowryan]

Most of everything North of Jefferson and west of Hickory is solid real estate. Specific for Notre Dame home game obviously.

There’s a pocket of homes a couple miles east of campus that the university hasn’t tapped into. That is where I bought.

 

[a mike]

I guess the underlying goal is to eventually get back to South Bend.

Do you know how to get insider deals? Watch for foreclosures? Should I buy in TH, nothing would prohibit me from doing a 1031 and buying in South Bend, right? Meaning, it doesn't have to be in the same city, county, state? Is that correct?

Thanks for the additional information

I think your plan is pretty sound from the further elaboration provided of what you're ultimately looking to do

In my experience when looking to get "deals" its mostly just the usual word of mouth/connections avenue. Especially when its non-commercial properties. The realtors always know whats going on and most of them usually run side businesses investing/renting especially on the type of duplex structures you're referring to

I don't think you'd run into issues with doing 1031 exchange going from TH to SB. But I have no experience in Indiana and sometimes states have different tax rules. Always good to ask a CPA. There's also a lot of different holdings structures you can do too that may be more beneficial than others depending upon your personal situation, CPA would be able to advise much better than me

 

[Lberry]

What is TH, a neighborhood? Edit, nvm it's the city name. And can you give me an idea of where you'd be managing from? And how patient are you willling to be, is this a definite 2024 thing, or next couple of years? And how many properties you'd want? Nothing wrong with starting with 1 and seeing how it goes.

Are you willing to hold for decades, maybe even pass on? Cash flow has been really difficult since they jacked up interest rates, but housing is going to appreciate big time in next ~10 years if interest rates even remain flat. We printed 40% of US currency in last 4 years, and housing auto-indexes into that. Ive bought a bunch recently due to that, but I'm also in it for the long game. You won't get rich or even have a reasonable profit soon, but it'll be worth it.

 

[NorthDakota]

My dad bought a rental home that me and my sisters lived in during college at NDSU. Our job was to find people to fill the rooms and collect rent.

Great way to help your kids with school and come out ahead on the other side lol.

 

[a mike]

in next ~10 years if interest rates even remain flat.

Don't make real estate--especially on 1-4 family--investment decisions based upon interest rates

A. Interest rates do not have a very significant impact on pricing. One need only look at house prices over this current rate cycle to see that. Basic supply/demand principle within a given market is by far the biggest mover of pricing

B. A typical full interest rate cycle lasts about 24 months tops, so not only does it have a minimal impact on pricing, its also very temporary in nature--especially when talking about a non-primary residence investment property where its pretty simple to wait out or time the cycle anyways

We printed 40% of US currency in last 4 years, and housing auto-indexes into that.

And so as for every other appreciable asset one could invest in. While recent monetary policy will certainly impact pricing moving forward its not a housing specific phenomenon.

Ive bought a bunch recently due to that

A person would invest in real estate to diversify and also for tax planning/sheltering advantages it affords. Not because of some shift in monetary policy. Its usually the last investment type accessible because for most it will be a significant concentration and its also very illiquid. 9/10 most people are better off just investing in plain jane stocks unless they have other underlining reasons like what the OP is discussing

You won't get rich or even have a reasonable profit soon, but it'll be worth it.

True, only possible with commercial real estate. Playing around with rental homes is a slow roll with too many unnecessary pitfalls. Thats why for most stocks is better option. Only people with sizeable cash/capital should get too much into real estate and that'd need to be commercial properties like apartment complexes, office space, retail, etc

 

[GATTACA!]

Cash flow has been really difficult since they jacked up interest rates,

Renting units from duplex and triplets are rough right now in terms of cash flow. Getting a single family in a college area and renting it room by room can still be very lucrative. A lot more leg work making sure it's filled and having it turn over every 1-2 years, but way more upside. We bought our first towards the end of last year and even at a not so great interest rate we're still set to clear about $20k annually.

 

[Lberry]

Don't make real estate--especially on 1-4 family--investment decisions based upon interest rates [Never said to, I'm not talking about how to make the decision to invest, just talking about holding.]

A. Interest rates do not have a very significant impact on pricing. One need only look at house prices over this current rate cycle to see that. Basic supply/demand principle within a given market is by far the biggest mover of pricing [Of course supply and demand is the biggest drive. And that in turn can impact rates. ]

B. A typical full interest rate cycle lasts about 24 months tops, so not only does it have a minimal impact on pricing, its also very temporary in nature--especially when talking about a non-primary residence investment property where its pretty simple to wait out or time the cycle anyways


And so as for every other appreciable asset one could invest in. While recent monetary policy will certainly impact pricing moving forward its not a housing specific phenomenon. [Yes, and? We're talking about real estate here, no one's saying ditch your 401k/other ]

A person would invest in real estate to diversify and also for tax planning/sheltering advantages it affords. Not because of some shift in monetary policy. Its usually the last investment type accessible because for most it will be a significant concentration and its also very illiquid. 9/10 most people are better off just investing in plain jane stocks unless they have other underlining reasons like what the OP is discussing [Sure, historically. But we just printed more money than we ever have and it will index into housing until our population declines, which we are on track for given birth rates. But that impact is decades out.]


True, only possible with commercial real estate. Playing around with rental homes is a slow roll with too many unnecessary pitfalls. Thats why for most stocks is better option. Only people with sizeable cash/capital should get too much into real estate and that'd need to be commercial properties like apartment complexes, office space, retail, etc. [Commercial real estate is the most risky right now for many factors. I've had 100% occupancy in all my rentals, so I disagree comparing it to Commercial. It all depends on the market, generally people are moving out of BLUE states and into RED states, but you need to get down to the city level too. This is just the data. And yes, of course diversify by stocks as well..]

I'm trying to understand the point of this post without sounding prickly. It seems like you just wanted to sound knowledgeable about the topic, but nothing you said is really pertinent to my post, yet you carefully commented on it.

Responding above in BOLD. If I'm misunderstanding what you're trying to get at, I apologize.

 

[BleedBlueGold]

If you're looking into surrounding areas for potential RE investment, I'd look around New Carlisle. Small town about 15-20 minutes west of ND. There's a potential huge sell off of farm land happening now. One deal has already closed with others in the works. There will be a jobs boom in that area. Jobs boom = employees who need housing.

Here's the first deal that closed. Like I said, there are others in the works.

GM, Samsung to build $3.5 billion EV battery plant in St. Joseph County

 

[a mike]

seems like you just wanted to sound knowledgeable about the topic, but nothing you said is really pertinent to my post

Stop projecting

If I'm misunderstanding what you're trying to get at, I apologize.

I was merely attempting to prevent posters from taking bad financial advice. I accept your apology. Thank you

Also, when you were reading/reacting to my post you were in the midst of a mind-reading/storytelling cognitive distortion. Just try to take what people are saying at face value and try not to get so stressed

You will get along better with posters and people IRL if you can keep all your cognitive distortions under wraps a little better

Maybe attempt to fact-check your internal thoughts a little before reacting. Think to yourself--is this a rational thought or am I suffering from a cognitive distortion right now? Get some clarity in your head first and then engage

 

[Wild Bill]

Stop projecting


I was merely attempting to prevent posters from taking bad financial advice. I accept your apology. Thank you

Also, when you were reading/reacting to my post you were in the midst of a mind-reading/storytelling cognitive distortion. Just try to take what people are saying at face value and try not to get so stressed

You will get along better with posters and people IRL if you can keep all your cognitive distortions under wraps a little better

Maybe attempt to fact-check your internal thoughts a little before reacting. Think to yourself--is this a rational thought or am I suffering from a cognitive distortion right now? Get some clarity in your head first and then engage

I just text this to my wife. Thank you.

 

[Lberry]

Stop projecting


I was merely attempting to prevent posters from taking bad financial advice. I accept your apology. Thank you

Also, when you were reading/reacting to my post you were in the midst of a mind-reading/storytelling cognitive distortion. Just try to take what people are saying at face value and try not to get so stressed

You will get along better with posters and people IRL if you can keep all your cognitive distortions under wraps a little better

Maybe attempt to fact-check your internal thoughts a little before reacting. Think to yourself--is this a rational thought or am I suffering from a cognitive distortion right now? Get some clarity in your head first and then engage

Im in this business (among 2 others), and own in several states, and what I posted was not poor advice.. no one knows what the future holds in any asset, but, thanks to God, I've been nothing but successful in real estate. No offense, but you've written a ton here and none if it is outside of a 101 class. "Diversify", yeah no kidding, that's a given. So where exactly do you own real estate? Based on your posts, I'm skeptical you are even in this business.

And your goal upon becoming a member has been very clearly to follow me around and try to drag anything I say. Are you a genuinely new poster? Cause this feels like a 2nd account from an existing...

I'm experienced here and genuinely trying to help the OP. You sound like a student who has their chapter 1 summary open. Im skeptical.

 

[TorontoGold]

I'm trying to understand the point of this post without sounding prickly. It seems like you just wanted to sound knowledgeable about the topic, but nothing you said is really pertinent to my post, yet you carefully commented on it.

Responding above in BOLD. If I'm misunderstanding what you're trying to get at, I apologize.

Ok, I will respond with sounding prickly because handwaving away his comments while making one of your concerns being cashflow is the instant sign of someone who doesn't really grasp real estate investing.

If you are cash flow sensitive, investing in real estate is like the toughest investment you can make. Put your money towards a safe dividend equity, don't take on debt to finance a residential real estate purchase that you're expecting to cover your costs on.

I promise you, birth rates on a national level should not register 1 iota on your radar - unless you plan on running a major REIT, which with your comments I would expect that to be maybe in a Sims 4 DLC pack. The development plan for SB or your target city should be what matters.

Im in this business (among 2 others), and own in several states, and what I posted was not poor advice.. no one knows what the future holds in any asset, but, thanks to God, I've been nothing but successful in real estate. No offense, but you've written a ton here and none if it is outside of a 101 class. "Diversify", yeah no kidding, that's a given. So where exactly do you own real estate? Based on your posts, I'm skeptical you are even in this business.

And your goal upon becoming a member has been very clearly to follow me around and try to drag anything I say. Are you a genuinely new poster? Cause this feels like a 2nd account from an existing...

I'm experienced here and genuinely trying to help the OP. You sound like a student who has their chapter 1 summary open. Im skeptical.

Since you'd like to try and "Big League" him - as someone who's worked on multiple real estate deals upwards of a ~$500M, if someone is trying to get into becoming a property manager, as you are, them complaining about CF is a major red flag that they are not the type of partner you want. So, maybe you missed it the 101 investing class but don't make leveraged investments based on initial CF requirements.

As a CPA I'll give you some free advice from the 102 course, you should like the high interest rates as you can accrue loses on these properties since the real gains are on the underlying value of the real estate and not the rents collected. If you can't stomach the first 4-5 years of the mortgage payments, you're better off sticking to ETF/MF's.

Maybe instead of shitting in the swimming pool in a supportive thread you take a step back on reconsider your position that you may be over leveraged and projecting your interest rate sensitivity concerns onto others.

 

[Lberry]

OP, if you ever want to talk, PM me. Be happy to talk on phone or via email. I've done rentals with every type of loan (FHA, 5%, 10%, 2nd home, 25% down), worked with about every type of lender and agent, and a million other things that may help.

Sounds like you have virtually infinite leverage with your house paid off, but that may be a good or bad option based on what you want. Happy to help if genuinely interested, just pm

 

[Cackalacky2.0]

Ok, I will respond with sounding prickly because handwaving away his comments while making one of your concerns being cashflow is the instant sign of someone who doesn't really grasp real estate investing.

If you are cash flow sensitive, investing in real estate is like the toughest investment you can make. Put your money towards a safe dividend equity, don't take on debt to finance a residential real estate purchase that you're expecting to cover your costs on.

I promise you, birth rates on a national level should not register 1 iota on your radar - unless you plan on running a major REIT, which with your comments I would expect that to be maybe in a Sims 4 DLC pack. The development plan for SB or your target city should be what matters.



Since you'd like to try and "Big League" him - as someone who's worked on multiple real estate deals upwards of a ~$500M, if someone is trying to get into becoming a property manager, as you are, them complaining about CF is a major red flag that they are not the type of partner you want. So, maybe you missed it the 101 investing class but don't make leveraged investments based on initial CF requirements.

As a CPA I'll give you some free advice from the 102 course, you should like the high interest rates as you can accrue loses on these properties since the real gains are on the underlying value of the real estate and not the rents collected. If you can't stomach the first 4-5 years of the mortgage payments, you're better off sticking to ETF/MF's.

Maybe instead of shitting in the swimming pool in a supportive thread you take a step back on reconsider your position that you may be over leveraged and projecting your interest rate sensitivity concerns onto others.

Ask him about timeshares...

 

[Lberry]

Ok, I will respond with sounding prickly because handwaving away his comments while making one of your concerns being cashflow is the instant sign of someone who doesn't really grasp real estate investing.

If you are cash flow sensitive, investing in real estate is like the toughest investment you can make. Put your money towards a safe dividend equity, don't take on debt to finance a residential real estate purchase that you're expecting to cover your costs on.

I promise you, birth rates on a national level should not register 1 iota on your radar - unless you plan on running a major REIT, which with your comments I would expect that to be maybe in a Sims 4 DLC pack. The development plan for SB or your target city should be what matters.



Since you'd like to try and "Big League" him - as someone who's worked on multiple real estate deals upwards of a ~$500M, if someone is trying to get into becoming a property manager, as you are, them complaining about CF is a major red flag that they are not the type of partner you want. So, maybe you missed it the 101 investing class but don't make leveraged investments based on initial CF requirements.

As a CPA I'll give you some free advice from the 102 course, you should like the high interest rates as you can accrue loses on these properties since the real gains are on the underlying value of the real estate and not the rents collected. If you can't stomach the first 4-5 years of the mortgage payments, you're better off sticking to ETF/MF's.

Maybe instead of shitting in the swimming pool in a supportive thread you take a step back on reconsider your position that you may be over leveraged and projecting your interest rate sensitivity concerns onto others.

Im well aware of tax breaks of high interest rate depending on how loan is secured. I could be wrong but this isa poster (likely with another user name) who never actually did anything but diversify. Lives a comfortable life, but never took the risks with the reward. No offense, even though you're being offensive towards me, but you're not speaking in any detail that leads me to believe you've ever taken your nose out of a book.

BUT, if you do have experience buying and managing rentals SOLEY, you should offer the OP your number in pm to help him out.

OP I'm happy to talk on phone if you'd like. It's scary to get started but once you see it work, it's a race to do it again and you'll be rewarded. And since you have kids, not a better feeling than knowing you can hand them a tangible asset one day that can open many doors for them.

 

[BleedBlueGold]

I just text this to my wife. Thank you.

Are we all invited to your funeral, or just some?

 

[Cackalacky2.0]

I just text this to my wife. Thank you.

 

[TorontoGold]

Im well aware of tax breaks of high interest rate depending on how loan is secured. I could be wrong but this isa poster (likely with another user name) who never actually did anything but diversify. Lives a comfortable life, but never took the risks with the reward. No offense, even though you're being offensive towards me, but you're not speaking in any detail that leads me to believe you've ever taken your nose out of a book.

BUT, if you do have experience buying and managing rentals SOLEY, you should offer the OP your number in pm to help him out.

OP I'm happy to talk on phone if you'd like. It's scary to get started but once you see it work, it's a race to do it again and you'll be rewarded.

Out of a book? You would like me to speak to you like you're in the industry? Or, is it that given the nature of this thread that maybe the best way to help someone is to not speak in verbiage that's not necessary for the level of complexity.

If you'd like to speak about the structure of a syndicated investment and the potential benefits I can do that, or how you would benefit from mezzanine financing especially given your high risk tolerance. Maybe - it's because many here don't need to see a dick swinging contest, and they really shouldn't take it from someone who's speaking about birth rates or how interest rates should concern you in a investment class that has probably the highest holding period. But hey, that's just my 101 class level knowledge talking.

OP - Is already set on investing in the SB area, this isn't for a generalist comment from me on the 101's on rental real estate. He's better served by a real estate agent in the area that has the type of info he would need. I mean, you already demonstrated you aren't even in this for the "helping" aspect by not putting the TH = Terre Haute together. That should tell anyone all they need to know. You want to help someone? Read what they're actually writing.

 

[Lberry]

Out of a book? You would like me to speak to you like you're in the industry? Or, is it that given the nature of this thread that maybe the best way to help someone is to not speak in verbiage that's not necessary for the level of complexity.

If you'd like to speak about the structure of a syndicated investment and the potential benefits I can do that, or how you would benefit from mezzanine financing especially given your high risk tolerance. Maybe - it's because many here don't need to see a dick swinging contest, and they really shouldn't take it from someone who's speaking about birth rates or how interest rates should concern you in a investment class that has probably the highest holding period. But hey, that's just my 101 class level knowledge talking.

OP - Is already set on investing in the SB area, this isn't for a generalist comment from me on the 101's on rental real estate. He's better served by a real estate agent in the area that has the type of info he would need. I mean, you already demonstrated you aren't even in this for the "helping" aspect by not putting the TH = Terre Haute together. That should tell anyone all they need to know. You want to help someone? Read what they're actually writing.

Agree he's better off with a good RE agent in local area, but there's so much more on the front end than an agent knowing the market.

I'm 100% open to helping the OP and if he wants to talk, my PM is open and I'm happy to help.

What location do you own rental properties?

 

[TorontoGold]

Agree he's better off with a good RE agent in local area, but there's so much more on the front end than an agent knowing the market.

I'm 100% open to helping the OP and if he wants to talk, my PM is open and I'm happy to help.

What location do you own rental properties?

Small property in the Windsor area near the law school. It's a throwaway investment I did with some buddies.

But, through my work I've done advisory work on all major real estate asset classes for properties globally. Projects ranging from $5M - $5B. Buy/sell side with public and private financing. This isn't about me though, so I'll disengage here and not hijack any further.

Just don't speak down to those that are trying to honestly help. The great thing about ND is there are a lot of smart fans and alumni, entering a dick swinging contest with a micro peen will not look good.

 

[Hautian Domer]

Renting units from duplex and triplets are rough right now in terms of cash flow. Getting a single family in a college area and renting it room by room can still be very lucrative. A lot more leg work making sure it's filled and having it turn over every 1-2 years, but way more upside. We bought our first towards the end of last year and even at a not so great interest rate we're still set to clear about $20k annually.

The duplex and triplex would have each have to contain at least two rooms (for example, a duplex would need at least 4 bedrooms, a triplex would need at least 6 bedrooms). I saw one triplex that contained only one bedroom per unit...I see that as a potential headache and view that as three separate units that need separate fixtures and maintenance (refrigerator, stove, washer and dryer, etc.) for merely one tenant per unit...

Ideally, first, I'm looking for (1) a 3 or 4 bedroom, single-family house, and then (2) a duplex (4+ bedrooms) or triplex (6+ bedrooms)

 

[Lberry]

Small property in the Windsor area near the law school. It's a throwaway investment I did with some buddies.

But, through my work I've done advisory work on all major real estate asset classes for properties globally. Projects ranging from $5M - $5B. Buy/sell side with public and private financing. This isn't about me though, so I'll disengage here and not hijack any further.

Just don't speak down to those that are trying to honestly help. The great thing about ND is there are a lot of smart fans and alumni, entering a dick swinging contest with a micro peen will not look good.

I'm not speaking down on anyone. I offered a lot of Questions to OP and "mike" (who I believe has another profile here), commented to say this is bad advice, and then proceeded to offer no real world experience on the matter, which makes me skeptical he's in the business.

 

[GATTACA!]

The duplex and triplex would have each have to contain at least two rooms (for example, a duplex would need at least 4 bedrooms, a triplex would need at least 6 bedrooms). I saw one triplex that contained only one bedroom per unit...I see that as a potential headache and view that as three separate units that need separate fixtures and maintenance (refrigerator, stove, washer and dryer, etc.) for merely one tenant per unit...

Ideally, first, I'm looking for (1) a 3 or 4 bedroom, single-family house, and then (2) a duplex (4+ bedrooms) or triplex (6+ bedrooms)

**All my info is in regards to the market in Cleveland. So take it for what it's worth.**

Are the duplexes/triplexes in the same area as the single families homes you're looking at? Would you be renting to students either way or would you use the duplexes/triplexes as long term rentals? If it's the former I would maybe look at the duplexes/triplexes and consider renovating them to turn them back into a single family home of sorts if feasible.

At the end of the day your profit is going to come down to how many bodies you can pack in and typically you're just getting less bang for your buck with the duplexes/triplexes. Around us even triplexes are all typically 2+1.5/2+1.5/1+1. Units 1 and 2 would be $1,200 per and the studio on the 3rd would be $750. Whereas we got a 6 room single family and will get $600 per room.

Like you said overhead will be worse on the D/T because you'll have to service 1-2 extra kitchens and 1-2 extra bathrooms. It's also much more difficult to get utilities included because they'll likely share meters. And having to deal with 2 or 3 groups vs only having to deal with 1 will be more time consuming for you.

There are a million other factors but this was our basic rational for going with a single family.

 

[a mike]

(among 2 others)

Another example of your lame Douche Master 5000 bragging. How many other businesses you're involved in besides real estate is wholly irrelevant to the topic at hand. Again, its little microfractures like this that give you away as a clinical narrassist. You can't even wear your Mask of Sanity for merely one sentence into your response

I've been nothing but successful in real estate.

Oh dear, another microfracture here. Keep slipping out of character don't we?

So where exactly do you own real estate? Based on your posts, I'm skeptical you are even in this business.

Sorry but you'll have to up your provocation game much more than this to get your creepy little tape measurer anywhere near my dick

And your goal upon becoming a member has been very clearly to follow me around and try to drag anything I say.

This is an extremely neurotic and self absorbed thought to harbor in your head. I would drag anyone that I think says something unintelligible. Maybe you just happen to have a high occurrence of this phenomenon than others? Or you may also be suffering from confirmation bias? You may want to fact check yourself here

Are you a genuinely new poster?

Yes. Like I previously mentioned, it only takes someone about a month around here to out you as a narcissist. Its patently obvious. That's why you're constantly annoying everyone and getting into pissing matches. You simply don't know how to interact with other human beings in a healthy manner. And in your defense, not being able to see other people's facial features nor hear their tone of voice only further exasperates things for you and makes your defensiveness go into overdrive

Cause this feels like a 2nd account from an existing...

Are you projecting again?

All I was doing was deconstructing your silly little word salad paragraph that provided no useful information to the OP's questions and was also remarkably devoid of any factual information as well--which you obviously only posted in a lame attempt to make yourself look like you know the real estate industry

I echo all of Toronto's other sentiments and fully agree with you're not even knowing what TH stood for gave away the fact you weren't genuinely interested in helping out the OP as much as you were attempting to lamely show out as some type of real estate guru

I'd also agree with Toronto that someone whom actually knows a topic and is secure will simply put things in a vernacular that would be easy for a person not knowledgeable on the subject to digest

The fact that you attempted to call him and I out because we weren't using fancy jargon only further illustrates the depths of your depravity

I know this will all just fall on deaf ears because of your complete lack of self awareness but just know that you consistently and inevitably come off as an annoying douche the very single second you perceive someone is even slightly taking umbrage with anything you say

Please for your sake and everyone elses, go touch grass before you post something here