A friend of mine told me that homes in detroit are selling for $100. Is this true? Should I move there and turn them into an investment?

You should move there and live! lol

Yes, there are homes in Detroit for as little as $100. Note that they are in really bad condition, but if you have the skill to fix them up and sit on them a while, they may be amazing investments. Here is an article about it:

http://digg.com/d1u7Z1

Interesting article. This bit looks very enticing-

If a lot of people do this whole neighborhoods could really be improved.

Make sure sure have employment lined up first or don't depend on income from a regular "job."

Makes me wish I lived somewhere where that was available. Rent here is killin' me.

AussieLady

Is that open to anyone in the world or just there people?

I actually live in michigan and work for a real estate investment company.
www.razmusteam.com

There have been houses as cheap as a couple hundred bucks over in detroit but it's because they are Trashed and you'll have a terrible time finding a buyer or a tenant to live in them even after you rehab.

I know a couple of people who are buying HUD houses in the detroit area for a thousand or 2 and putting them up on ebay and selling them before they even have to close for profit. There is opportunity in Detroit but you have to be careful...for example, be sure to check the property taxes on those cheap properties, you might be STunnED.

On our side of the state, the prices are as cheap as 5-10 thousand dollars for single and multi family properties(need some rehab typically)...but the RENTAL market is much stronger.
They can be rented for 500-700 dollars a month currently and when the market turns around..those properties will be back up to 40-70K in value.

We work with investors from all over the country, even in Hawaii. Who purchase properties to hold and rent for cash flow or lend money as a private lender to fund deal(s).

ThankS.

Do investors qualify though for government and state grants, though, spacechimp, or are they only available to an owner who goes on to occupy it himself?

Posted this question on a bunch of other forums. Basically most of the replies are that living conditions are bad and that it should cost a lot to fix the places up. hmmmm.
I'm glad I picked up on the property tax angle. I've never actually seen the kinds of houses for sale before clicking on that link.

A video of some great buys in Detroit:
http://www.youtube.com/watch?v=T6WKMNmFsxM&feature=fvw


Don't buy just yet though:
http://www.telegraph.co.uk/finance/finance...to-survive.html

It adds new meaning to the term `knockdown price.` lol

oh shi- is that rope holding the roof down? If conditions are that bad they can have their $5 houses and $95 lots.

A House for $100, if it is reality you may need to invest more than $500 for repairs on it, to bring it to living condition. Any way, Good Lick to you.

Oh I think it likely that the figure would be more in the thousands of dollars to bring it up to scratch.

It is true that many people may not feel safe in these types of areas, no matter how good the properties look once they are fixed up.

One idea might be to try and get a group of buyers to do this at the same time. Have the properties rehabbed at the same time. But before moving in, put certain security measures in place. The more that can move into the same block around the same time, means fewer empty houses on the block.

Then, some of that money designated for rehabbing, can also be used to install some of the best security features, including the monthly charge for a security service (maybe to pay for the first year of services).

Then they may want to get together among themselves and the existing, residents (who were already on the block), to form a "Neighborhood Watch" (if none already exists), and work closely with local police and existing neighborhood improvement & safety associations. If the communities get involved, then the growth of the area can continue. If the model is set, then more may want to join in and follow this model for other blocks... until there are fewer and fewer empty houses. And then crime in the areas will decrease because of these "in place" deterrents.

That's just a few ideas, I'm sure people can come up with many more, once they put their 'thinking caps' on. If more money is needed for these projects, then they can find a way to get it from the funds allocated for getting these homes occupied.

Fear without a plan is what is going to keep these homes vacant. Money should also be spent on educating people on how they can secure their neighborhoods once they decide to take advantage of these offers.

I wish those who do this 'all the best', and hope more will get involved before all of these areas turn into ghost towns.

JoAnn

It's quite amazing how low these house prices have dropped!

That's why this is the best time to buy. The smart investors are buying now. It depends on if you want to buy and hold (because the prices will rise again), or if you want to wholesale flip them for the short term profits. That's from an investors point to view.

If you need to purchase these properties as your primary residence, you need to consider many more factors, as I stated in my post above. They may look like a great deal on the surface, because they are so cheap and because of the government help that comes with them. But if you are not prepared to deal with what all comes with living in these houses in these areas, you may want to think twice about purchasing them

You can purchase these junkers and flip to other investors, without the government's money. You don't have to live in them if you don't use their money. You can wholesale flip them to other investors using our investor's funds. We not only fund high end deals, we fund the low end deals as well. The ones we try to stay away from are the Middle market properties. You would need to watch the video on our website to understand why. You can flip a lot of the junkers and make a good profit, or you can flip a few of the high end properties and become very wealthy in a shorter period of time. The possibilities are endless.

You just need to connect with the right funding sources. There is nothing wrong with accepting and making use of the government's funds. You just need to be prepared to stick to their rules.

JoAnn