Hi all:

I am from bay area in california where starting home here is $700K. But out of state, say Atlanta, (dacula or fairburn, suburb of Atlanta), a nice 2300 4 bedroom is only $200K. Rent can be $1500~$2000. Therefore, with 20% down, the rent should cover PITI+management fee. If I am looking at 5 years, there should be positive cahs flow (rent increase) plus home appreciation. The area do have job growth and population growth. Anybody see problem with the logic?

Thanks

Depends on what you want to do.I lived in Ga all my life and specialize in investments in the Atlanta area.You might could get that 200k home for less on a pre-foreclosure short sale,or an reo.

Apartments are hot to own right now also.You could buy an apartment complex that is run down,fix it up,raise the rents,and create huge equity then refi out ans still cashflow.

If you want to hold for investment some areas of atlanta are for flipping and others you can hold for rentals.How much appreciation will depend on the developing and revatalization going on in the area and the migrating patterns of people.

If you have questions pm me.

Thanks super realtor.

I went and looked in the northern part of Atlanta Sprawl. Liked
Suwanee, Dacula, Cumming area. Good demographics/family income.
Good populatoin and job growth ( think forsyth country was 4th of the 5 largest growth country by Money). A 4 bedroom house can be bought for $250K. With 20% down, it could break even including management fee.

Apartment is hard for a remote landlord. I was more thinking of single family. I may buy a few new homes and hire a property manager.

Owning commercial property right now is really good.You have to buy in the right location at the right price but the benefit is commercial tenants have longer term leases in effect.If you have 8 spaces in a strip center and 6 are rente dout you can still break even or cash flow.With a few houses if they become vacant you are now in a negative cash flow situation.

I would definitely be looking at short sales to get homes at 75 to 80 percent of the value an or new home builders that are fixing to be foreclosed on and are willing to dump some of the properties for cheap.

super realtor:

I had been looking at NNN professional buildings in california, but the CAP is too low. What is it like in Georgia?

PM me if you have specific commercial, or builder foreclouser

Here in Forsyth County, the foreclosure list in the paper this month is double. But most drop out the day before the courthouse steps auction. Over all, I usually flip my rehabs in 90 days or less.
While new homes are hurting, our existing housing is holding it's own. This is a great area, and people are still flocking in to live here. The schools are the best, the median income is high, and rentals are in extremely high demand. However, most people only want 6 months to a year max, just until they get moved in with their new job and learn the area... you know, to find out where they want to live. Competition for foreclosures is fierce here, it's a hot area and everyone knows it. But since I live and work here as a commercial appraiser, broker, and investor, I have more data resources than others.