[mikelizard860]

Originally Posted by Konig1985

Frankly, if you look at some of the lower FFC there are some very cheap rentals for the kind of quality u get. Net yields for landlord at these wealthy towns are just around 3%.

Yeah because the price of real estate is outrageous that's why the profit margins are tight for people owning rentals. If you own the property outright or have most it paid off, then of course you're raking in the money. Of course that means a tremendous amount of cash tied up in a property.

[S2000]

Originally Posted by mikelizard860

Yeah because the price of real estate is outrageous that's why the profit margins are tight for people owning rentals. If you own the property outright or have most it paid off, then of course you're raking in the money. Of course that means a tremendous amount of cash tied up in a property.

And that my friends is the rental market for property owners in CT. The Taxes and Insurance are cutting in hard lately.

[mikelizard860]

Originally Posted by S2000

And that my friends is the rental market for property owners in CT. The Taxes and Insurance are cutting in hard lately.

Taxes and insurance aren't the big deal. Taxes and insruance are high in buffalo, yet you can get a studio for 350 bucks a month. It's the cost of the real estate. Of course property taxes play into as well, but the major difference is the cost of the real estate. It's a millionaire for the rich society. Buy an apartment building for 10-20 million cash and you basically can't lose. The only people that get hurt are people who overpay or over leverage themselves.(don't put enough money down and have enough operating cash) There's no rent control. Property owners will charge as much as they can get. Their in it for the buck obviously

[S2000]

Yes you have a point. I've been trying to get into the commercial rental market and for sure the rich totally control and make their $$$ where as the guys that buy 8-10 unit place with barely enough to put down in the first place don't do very well.

I am coming from a mindset of 3-6 unit properties where its hard to get the economies of scale that the much larger developments like the avalons can do.