If you have cash you can get condos around 120k that rent for 1200 or more and have low hoa fees

Yes you can find lower down properties. I was referring to the best deals I see which require cash. 2BR/2BA condos with garages for 120K or less with HOA fees of 150/month or less that should rent for 1200 to 1400/month. Cash on cash returns of 10% or better plus upside in the future based upon inflationary rising rents not pure speculation.

[quote=sdrealtor]Yes you can find lower down properties. I was referring to the best deals I see which require cash. 2BR/2BA condos with garages for 120K or less with HOA fees of 150/month or less that should rent for 1200 to 1400/month. Cash on cash returns of 10% or better plus upside in the future based upon inflationary rising rents not pure speculation.[/quote]
sd are these older units? What are the neighborhoods like?

[quote=sdrealtor]Small complexes in urban core south of the 8 usually built in 80’s. There are usually a few owner occupants in each that effectively act like unpaid on site property managers. I prefer smaller complexes as they keep close eye on maintenance and fees stay low? Flipside is tough to finance as they dont maintain enough reserves. Not where many of us would choose to live but drive down the 8 and count the jobs in all those buildings, malls, colleges, stadiums etc. everyone’s gotta live somewhere.[/quote]

Considering the state of finance right now, I would go with a medium to large complex (over 20 units).
If they can be financed, then there is a greater upside potential (people will pay more if they can borrow more) and active HOA’s tend to keep complexes more desirable for tenants. I pull a lot more rent from larger and professionally run places that I manage.
Also, these places will be far more likely to see a price increase.
The caveat that sdr obliquely refers to (high HOA fees) are a concern. However, a savvy owner can mitigate that through research and advocacy.

Do 1 bedroom units have less turnover then multi bedroom units? Seems like they would need less repair type maintainance also as they are too small to have a party in/ house small children.

[quote=outtamojo]Do 1 bedroom units have less turnover then multi bedroom units? Seems like they would need less repair type maintainance also as they are too small to have a party in/ house small children.[/quote]
I would think absolutely, but others on the board might have more direct experience.

My thought process is that roommates have disagreements, relationships do end sometimes, etc.

I’ve heard plenty of solid investors mention that if they find a 2 bedroom at a good price they turn 1 bed into an office to attract a person living alone.

Anybody have experience renting to the type of demographic you find in that part of Normal Heights? I guess any time you’re renting to the poor, you’re going to have issues. It seems like it could be harrowing enough to not be worth it. But, of course, you’re not going to find stuff at 100x rent that the upper-middle class will be renting. So I’m curious to hear what anyone has been through renting to the working class.