Is house-flipping in Detroit a meme? I talked to a realtor about

>>1590794
yes, at least if you don't already come in with a sizable fund to begin the flip/sizable pool of properties you are able to flip.
Do not put your eggs in one basket, the market is good and just getting better in real estate but people still remember '07-'08 and hesitance remains, especially in working/middle class families, who don't particularly want to gentrify an area with such massive negative reputation, at the end of a project you may be sitting on a house you invested 50-150k into but nobody willing to buy it. what you REALLY are looking for is foreclosure properties, or bank owned properties nearby growing colleges and/or thriving business industrial districts.

I'd say flipping in general is a bit of a meme. There are a lot of people wanting to get in and many won't make a dime. Very competitive. And to do it in Detroit seems foolhardy.

You're better off to just buy rental properties in good neighborhoods

Back in the 70's you could buy Victorian houses in shitty San Francisco neighborhoods for around $20000. Now those neighborhoods are fine and those same Victorians sell for around $2 to $4 million: http://www.zillow.com/homes/recently_sold/San-Francisco-CA-94117/house_type/97571_rid/4-_beds/globalrelevanceex_sort/37.78279,-122.422157,37.754803,-122.468291_rect/14_zm/

I think the same will happen in Detroit. But can you wait 45 years?

>>1590983
Do foreclosure properties sell at a large discount? I need to find a local auction...

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>>1591369
>Back in the 70's you could buy Victorian houses in shitty San Francisco neighborhoods for around $20000. Now those neighborhoods are fine and those same Victorians sell for around $2 to $4 million
>I think the same will happen in Detroit. But can you wait 45 years?
The chances of investing $20k in stocks and getting an above average annual return of 12.5% (=$4 million after 45 years) are far higher than betting on some shitty real estate market become the next San Francisco.
Better put your money in cryptocurrency to have a real shot.

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>>1591851
Also consider 45 years of tax and maintenance.

>>1591836
They used to about 5 years ago. Now they don't really. Also auctions are far riskier than getting foreclosures off of the mls. Would not recommend

>>1590794
>He told me that there's a historic neighborhood that is close enough to a patrol zone, hospital, and university.. that the crime rate is low, but far enough that the homes are undervalued.

He's taking you for a ride.

>>1590794

There's YEARS of housing supply in Detroit.

Being one block out, or half a mile out, is enough to make a property near-worthless. Block from where? Well, you should know OP. What's selling, what isn't, what price is it moving at, what's the spread between a fixer and move-in ready.

>>1591908
I looked at his profile pic, bald guy with scammy features. Feelsbadman that I temporarily had absolute faith in his word (still unsure).

>>1591914
You could ask him what the average time on market is for other houses in the area. But yeah, in general I would be skeptical of claims that houses in Detroit are a 'hot buy'.

Doesn't matter how undervalued the house is if you can't sell it.

>>1591910
Apparently the property tax rate varies considerably depending on which area of the city you buy in. People strip the copper, linoleum, gut these houses. And then there are empty lots, which sometimes have tax arrears on them even though it's just some shitty grass. That doesn't mean that there can't be diamonds in the rough, it just means that your DD has to be very high... and you should still accept that your DD will never be enough because of how scammers manipulate information.

>>1591919
He told me that 7 employers offered a 20,000$ employment signing loan, for the purpose of purchasing a house in the area of work. According to him, 44,000 employees from in and out of state signed up and started purchasing homes to renovate them while they worked for the company. He didn't tell me which companies. Also, by all article accounts on google, Detroit has settled its debt problem. It still has a deficit issue because of pension plans, but its debt is mostly settled.

>>1590794
>I talked to a realtor about it today. He told me
You do realize that he makes a living off of real estate? You can buy a VERY nice mansion in Detroit for next to nothing. But don't expect to be able to 'flip' it anytime in the next decade.

>>1590983

>Be American
>Always anxious about owning/renting property, because yanks can literally walk away from their mortgages

You guys have a serious handicap as a nation.

>>1591851

It's not a matter of chance, fuckwit. It's about your ability to appraise the property and its potential value.

Cryptocurrency, however, is practically just chance. I can't imagine placing literal bets on which meme coins will garner enough interest to become valuable before nose-diving within the next month.

>>1592314

>>1591851
But what if you have proof (proof of transactions via city data) that houses that were once cheap, have now appreciated in value, and that the market is liquid? And what if at the same time, there's a confirmable trend of an expanding area which covers houses that are appreciating in value due to developments at the mid-region of the area? So, you confirm that the patrol area is expanding via calling police departments and thoroughly exhausting conversation options with officials. Then you sample houses, and track the appreciation of them according to a reliable source. Next, you find where the appreciation tapers off (how far from the mid). Then, examine this fringe area, and call local government officials or email them to see what changes are being made in these areas if any. Next, determine whether or not there is another ticking timebomb going on in the exploitable city of Detroit. Finally, find an undervalued property, purchase it... and then sell it.

invest on the other side of the state. Muskegon Heights is a shithole but it's right near some of the best beaches in the country. same with benton harbor

>>1590794

To me flipping only works if the area is (a) successful or (b) on the way to becoming successful.

I don't think Detroit is either.

I could be wrong though, just think there are better areas to get into the flip game.

>>1591232

> a meme

I know a few guys that do it and there is definitely money to be made, but the ONLY way is if the house is in a promising area AND you can get it for a steal. Houses like this are rare, it's like picking a four leaf clover.

Just gotta know how to pick one.

My buddy just looked at one here in Georgia. All homes in the neighborhood were around $250k. There was one house available for $175k. But the house was fucking destroyed. It needed everything redone. He would have had to put $50k in it. Plus you got closing costs, capital gains, etc...

If you can't make at least $50k on a home after you have factored in all the bullshit, then it ain't worth buying. Gotta have room for problems.

>>1591908
>>1590794

I know what area he is talking about and I literally got shot there

>>1593059
Tell us the story pls

>>1593096
>just having a couple drinks with the fellas one night
>random nig shows up and starts nigging
>things get sandy and he steps to my manz so i move in to knock his ass down
>they exchange gunfire at that exact moment i move in
>didnt even know i got plugged until like a full minute after and im bleeding, didn't feel shit
>fortunately the hospital is only 2 blocks away
>they didn't even do shit just prescribed me antibiotics because i got lucky and didn't damage anything major
>i get comfy and sober up for the night in my hospital safe space

There are actually some streets there with real potential, only 1 way in and out and original cobblestone roads but they're in shit condition

>>1590794
>>1593096

I'll try firing up the good ol google earth

>>1593115
What streets?

>>1590794
Don't go to Detroit, that's all I'll say.

>>1590794

Getting in to the flipping market without a history is very risky. You are going to go in to the market trying to be a straight shooter but you are going to be going up against people who have illegal immigrants making chump change doing all the hard work. You will end up busting your ass and not getting what you feel you deserve.

Call a local lawyer before you buy in detroit. the blacks know how to game the system and sue their landlord. I heard story from my lawyer about a california couple that purchased a house for 50k and ended up spending another 50k in lawyers fees and lawsuit penalties over mold. tons of militant blacks looking to get back at white people with money. The only way I know how to make money in detroit is with Section 8. The hipsters have already make prices sky high in the good areas. also some areas have to hire private security. that could be another 5k a year expenses.

>>1593871
What do they purposely create mold and then sue or something?

>>1593989
lol no.
Just look up niggers squatting about taking over houses on youtube.

btw. Thanks to all who have contributed to this thread. I really appreciate the input!