OfflineHi All,
I wanted to get some feedback on investing in war zone areas. I know that many investors say stay away from these areas because they're not very desirable, but I can't help wondering if I am missing some good deals. Right now I can pick up 2 year old houses in a brand new development for around 79k. These same homes were selling for 300k a few years back. These homes are cheap enough that I could get an HML, rent it out with some cashflow and then refi. Of course, the quality of tenant is not that great. I could always try section 8. What do you all think? Pros? Cons?
KimmyJ
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I am young and new and I first was looking at homes in bad areas of Jersey and Philly, but after reading I realized that there are many more cons than pros. Even if you have someone with sect. 8 and you don't have to worry about the rent coming in, what about the house? They can trash it, how do you know they will take care of it? What about when you want to sell it? It will be harder to sell because of the area it is in. Just my thoughts. Jeremy
This train, Dreams will not be thwarted
This train, Faith will be rewarded
Big wheel roll through fields where sunlight streams
Meet me in the Land Of Hope And Dreams
Bruce Springsteen
They carry the name "War Zone" for a reason. I personally wouldn't buy in a war zone but I do have a couple investors who own rentals in the war zones and they have good renters. I even have to go into thhose war zones for them sometime to collect rents when they are out of town. Yikes! Not a good feeling to be cruzing the war zone with several thousand in your pockets. I would personally stay away cuz when the property is empty (no renters)they will go in and steal and destroy your investment. Just my .02.
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