Why all these vacant multifamilies in the state of OH i.e. Cleveland, Cincinnati

I am seeking another underperforming multifamily in the central northern states but seem to be finding them way too cheap? Why?! I know my owner operator capabilities but will I face a fogged mirror if I seek interest in those areas?
In Market Conditions - Asked by John C. - May 6, 2010
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Answer(s)

Tom M.
Owner/Investor
Akron, OH

Vacancies in foreclosure properties are often due to the fact that the lenders require that all tenants leave the premises as soon as possible. The lenders feel that they incur too much liability if they allow occupancy.
This creates the opportunity that you are seeing. Often there is no reason that new tenants could not be put in quickly, once the dust and odors due to a lack of occupancy are dealt with.
Banks are not known for using common sense, IMHO.

May 8, 2010
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Nick N.
Owner/Investor
Cincinnati, OH

John,
If you need help with properties in Cincinnati let me know. I am not a broker. I know of several off-market opportunities. You can reach me at nickinvestor@hotmail.com

May 13, 2010
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Joe H.
Broker/Agent
Columbia, SC

Most people look at real estate as a one time purchase, where as some of the wealthiest individuals have portfolios filled primarily with real estate. Yet the average person pours thousands of dollars into the stock market, sometimes, to only have a piece of paper in the end. Real estate is now at the lowest prices we will ever see in our life time. BUY BUY BUY

May 26, 2010
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John C.
Owner/Investor
Woodland, CA

I would like to Thank Tom M., Nick N., Joe H. for the replies.
I went to OH for a week and drove all of these cities. I see why most of the 23 multifamilies I saw are priced below cost - lot value almost... they are on the "other side of the tracks". You can reposistion a property in months but you cannot reposition an entire quadrant of a city with generations of different mentality of many years. These areas will take a Donal Trump size developer and fresh city leaders to change these demographics. Until then these places will never change.

Jun 1, 2010
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