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Should you buy the cheapest Detroit homes?

A wholesale NFL jerseys lot of clients ask me what the difference between buying cheaper ($20,000 and below) and buying slightly higher priced homes ($30,000 and above) actually is.

Often the reasoning behind wanting to buy cheaper homes is that it appears less of a risk, especially for someone new to the market. But is it really less of a risk? Let’s find out…

You see, the cheaper homes aren’t going to be in the best locations, and this means they attract a much lower rent, and a completely different kind of tenant. So does the ‘type’ of tenant make a difference?

Most certainly yes, but don’t just take my word for it…

We decided to put this to .
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test and compiled all our statistics from our wholesale NFL jerseys property sales and the statistics from our management partner to see whether buying the cheaper homes made any real difference to your NET yield.

Here’s what we found out:

Properties over $25,000 showed a 100% occupancy rate this year with an average rent of $787 per month.
Properties under $20,000 saw a slight decrease with 92% occupancy of property with an average rent of $560 per month.
The average length of time a tenant stayed in the property for cheaper property was < How under 12 months The average length of time a tenant stayed in higher priced/rent properties was > by 3 years.

Now here’s the alarming part…

Properties with BDA low rent brackets on average needed a huge $6,000 rehab bill when the tenant moved out. I’m sure you can agree that $6,000 eating into your NET yield every 3 years is not ideal, so what about properties $25,000 and above? The average repair cost was just $500.

That’s a huge difference and really shows how important social demographics are when choosing a home. It’s not just the tenant though…

Spending that little extra means you’ll get a much better location and benefit from a higher and quicker rate of capital growth too.

When you buy an exclusive property from us you can be sure our dedicated team in wholesale nfl jerseys Detroit have already:

Vetted the location and condition to make sure it’s a good proposition for you
Confirmed the tenant status with supporting rent payment history and the signed lease agreement to back this up
Professionally refurbished the property to a high D?à??????? standard
Provide you with 6 months guaranteed rent and maintenance 2015 free warranty as standard

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