Hey, /biz/. I'm moving to a medium-sized college town in the fall and considering getting a foreclosure property to rent out. My net worth is about a quarter million, so if I get a 3 bedroom for 30k it wouldn't be too much of myt portfolio.
Anyone have experience with this? Any good books on the topic to read?
>>1350758
>Buying a 3 bedroom house for $30k
Nigga wtf?
>>1350788
http://www.zillow.com/homedetails/1513-Victoria-Ave-Arnold-PA-15068/10615206_zpid/
>>1350788
On the outskirts of pittsburgh, it's not unusual to find foreclosures around that price
Just use the 2% rule
copypastad from tinypockets
>The 2% rule states that your monthly rent should be approximately 2% of the purchase price. In other words, a $100,000 home should rent for $2,000 per month; a $50,000 home should rent for $1,000 per month. This is a very conservative estimate that is very simplistic, but can help in deciding if a property warrants a deeper look. In most parts of the country, the 2% is very difficult to achieve, but the closer you can get to that, the better cash flow you'll receive.
>>1350885
Seems like with foreclosures, you can get much better than 2%.
>>1350964
yea just got to be careful about the crime
usually cheap foreclosures= lots of crime
>>1350998
I know the area pretty well, so I can focus on neighborhoods that I know are safe.
also, bump
>>1350885
Is this for real?
In my part of the UK, most buy-to-let investors are comfortable with returns at ~4% p.a.
