cheap rental homes (Jacksonville, Stuart: for sale, foreclosure, cheap house)

[wayneinFL]

I'd imagine Jacksonville is overrun with rental homes the same way we are down here (I'm in Stuart). If I had a $200,000 house up there it would take forever to rent out.

But I've been seeing a lot of homes in Jacksonville, old frame homes, for sale under $30,000. I'm thinking a small older home like this would rent more easily, because it would only have to rent for $400 a month to be worthwhile. Besides, it's in my price range.

I saw guy in another state who buys cheap houses and owner-finances them for people for low payments over a short period so people who can't afford much can own homes. He mentioned a scenario in which he bought a house for $14,000 and sold it for $4,000 down and $300 a month for 72 months.

Would this work in JAX? Are there people there who would be willing to buy/rent something like this?

[riveree]

I would be very leery of a home in Jacksonville that is listed for $30k .

Maybe it's a tear-down and it's priced for lot only, but either way, surely it's in a bad, bad part of town .

The least expensive homes here that you would use as a rental investment will be in the 6-figure range and most likely approaching the $150k-$200k range. I'm speaking of little fixer-uppers, usually less than 1500 sq ft (in our more desireable areas, even less square footage for the $).

Right now in Jax, it's hard to find a decent home in a decent area for much under the $200k mark . Our median is closer to $250k-ish, more or less (I don't know exactly where it stands right now).

Now it's possible if you went to the outskirts of Jax or beyond into the less developed areas, you might get lucky and find a decent house for under 6 figures, but the rents out that way are going to be much less and your pool of "lease-to-own" folks will be smaller too. It's a catch 22 - if you want higher rent, you need to invest where the people will pay the higher rent, and unfortunately, the numbers are't going to work out as you outlined .

[David in JAX]

Originally Posted by riveree

I would be very leery of a home in Jacksonville that is listed for $30k .

Maybe it's a tear-down and it's priced for lot only, but either way, surely it's in a bad, bad part of town .

The least expensive homes here that you would use as a rental investment will be in the 6-figure range and most likely approaching the $150k-$200k range. I'm speaking of little fixer-uppers, usually less than 1500 sq ft (in our more desireable areas, even less square footage for the $).

Right now in Jax, it's hard to find a decent home in a decent area for much under the $200k mark . Our median is closer to $250k-ish, more or less (I don't know exactly where it stands right now).

Now it's possible if you went to the outskirts of Jax or beyond into the less developed areas, you might get lucky and find a decent house for under 6 figures, but the rents out that way are going to be much less and your pool of "lease-to-own" folks will be smaller too. It's a catch 22 - if you want higher rent, you need to invest where the people will pay the higher rent, and unfortunately, the numbers are't going to work out as you outlined .

Well said. As a landlord, I would be scared to death of a $30k home anywhere in Jacksonville. And I don't think you can buy a home in any neighborhood and make it cash flow positive as a rental right now.

FYI... The median single family home price in Jacksonville was $196,700 for the month of August. September numbers haven't been released yet.

[riveree]

Originally Posted by David in JAX

And I don't think you can buy a home in any neighborhood and make it cash flow positive as a rental right now.

I agree, that ship has sailed.

[wayneinFL]

I agree there's no way I'm going to buy a $200,000 house and make money on it right now- unless maybe if it was a foreclosure and torn up pretty bad.

"Maybe it's a tear-down and it's priced for lot only, but either way, surely it's in a bad, bad part of town"

Oh yeah, it's in a bad part of town. But I wasn't planning on living there myself. I was going to rent/sell it to people who are comfortable living in that type of neighborhood. Some of them are tear-downs, (one I saw for $8,000 comes to mind) but some of them aren't that bad.

waynethepotentialslumlordinFL

[riveree]

Originally Posted by wayneinFL

waynethepotentialslumlordinFL

Ha Ha! Nooooo Wayne, you don't want that as your handle !


But who is going to do the repairs? Who is going to collect the rent? No offense to the people that live in those neighborhoods, but have you been through some of these areas? Some of them are really, really bad. By day it is one thing, but by night? Bring your heat .

[floridaexchange]

I am looking for a cheap place but $30,000 is kinda ridiculous...i wont rent or buy a place for that even if the rent was $100/month. The only thing i can think of is those are probably trailer homes in the rural outskirts of jacksonville.

[Karla with a K]

hey wayne
do you know the zip codes these houses are in? we will be able to let you know about the area

[wayneinFL]

"Bring your heat"

Hee hee. I always do.

Seriously though, I work in neighborhoods like that anyway, so no real change for me. I usually try to work during the day. At night the goblins come out with the cockroaches.

They're small houses in the middle of town. Mostly in zip code 32209. Some others over near the port.

Here's an example of one in exceptionally poor condition for $12,000:
REALTOR.com: Find a Home - Listing Detail

Some of the ones in the 20K and 30K range really don't seem to need that much work.

Here's an exceptionally good one for $29K:

REALTOR.com: Find a Home - Listing Detail

I might come up tomorrow and look at that one...

[HIF]

If you do the math, your numbers don't work. You remind me of a former CD member.