Finding a good place to invest in Real Estate within the United States can sometimes be a chore. In the past I always searched for places that had new industry and/or companies moving into a location that required enough employment to almost guaranty my property to have a tenant for at least 5 years, usually searching through the city’s Planning Department to find this information. With the economic slow-down, it’s been harder to find those locations.
With a little help from some investor friends I found a small town called Cheyenne. In 2007, I drove out to Cheyenne from Los Angeles and flipped a house that I picked up contract-for-deed. It took me about $10,000 and 6 weeks, on that property, (with a lot of help from my friends). Driving was a lot better than shipping tools out and renting whatever else I needed, I’ve done that in 5 other states prior to 2007.
Well, I was sold, myself and the family were leaving Los Angeles and heading to Cheyenne to live. When we moved there the crime rate was around 1.7%, and after 3 plus years it’s still under 2%. I’ve actually left tools out in the yard while working on a front yard fence at one of the vacant units, after the weekend I came back to find my tools on the front porch next to the door. And I even think they cleaned them for me! You just can’t beat the place for an investment opportunity.
We left Los Angeles at the beginning of 2008 after 11 years of Real Estate investing. Due to the fact the even if I got a property under contract for 60 to 65 cents on the dollar, I still couldn’t make much of a profit for the work involved due to the depreciation at the time, even in a short sale. And even back then short sales were getting pretty hard to come by, depending on which lender seller was with.
I researched the nation to see if there was a better place to buy, hold, and/or sell. We already owned in 9 states at the time, so nationwide investing wasn’t knew. And found that my friends were correct on their advice about this little Cheyenne town. The market there never really got hit by the recession, at least not even close to the way it hit the rest of the Country. If property values did anything at all, they just held their value or maybe dropped slightly.
Most people have lived there their entire life, and many have a 65-70% equity position. I was used to Los Angeles where a high percent of the people I spoke with were upside down on their loan. I still can’t believe that this type of market can still exist with the economy in the condition its’ in.
The Government here is odd, they actually make decisions based on what is good for the community, not what will fill their pockets. OK, I’m sure they make a good living too. They don’t seem to over build when it’s not needed.
We’ve bought all over the nation and 98% of the rentals will take anywhere from 3 weeks to 4 months to get the re-rented. Here it’s more like I can’t seem to get the units ready fast enough and I have 3 plus applicants that want the property. 99% of the time, I’ll end up knocking off a little of the deposit money if they’ll move in and do some of the small final clean-up. It’s hard to believe that the economy here isn’t as bad as everywhere else in the nation.
Note of wisdom: Never pull a heater apart during a single-digit winter day, unless you know you have the parts to fix it immediately.
3904 Central Ave. 107
Cheyenne, WY 82001
Need to sell: http://www.SellWyomingHomes.com
Follow us on Twitter: http://twitter.com/BuyWyomingHomes
Follow us on Facebook: http://www.facebook.com/profile.php?id=100000031002025
Follow us on LinkedIn: http://www.linkedin.com/pub/robert-lett/2b/9a0/443