When Googling tips for investing in the inner city, you get more horror stories from investors who were unsuccessful, rather than solid tips on how to profit without losing it all.
Today, Al Williamson and I will share practical tips on navigating this investment strategy successfully, and when taking into account no nonsense tenant screening advice found on here BiggerPockets, this process can be recreated again and again. Here, I’d like to share how to succeed rather easily with a clear head and long vision.
There are different first steps to take when investing in a higher end neighborhood versus an inner city neighborhood. Being able to scale your methods based on each strategy can be a key difference in getting through this with your investment safe and sound.
*Lisa: Lock Yourself In*
I say this tongue in cheek, but my very first purchase going into this neighborhood was to contract out the installation of security doors on the front and back. I mean, The.Very.First.Thing. I did this because it was my first time in an inner city investment vehicle, and I knew I was dedicated to making this work and I had to show up everyone who said “you’re making a big mistake!” Also, because I knew I was a single female, I wanted that protection so if I was working inside late at night, there would be no surprises. This also served as a huge deterrent, as I suddenly became the home where you would have to cause too much trouble than its worth to try to get copper pipes (which remained safely in my basement throughout the entire renovation). It costs about $1300 for the installation of 2 doors both front and back, but considering the house cost $13,599, this is a relatively minor cost for the exponential amount …read more