Covid had us backed up a bit and we finally have our Birmingham Market highlight episode published...
In this episode recorded in April, and finally published in... September... we go over not only the highlights of the Birmingham Market as well as how we were handling the Covid-19 situations.
In Episode 23 of the Profitable Powerhouse Properties Podcast, Jonathan Cook and Bryan Jenkins discuss the real estate investment market in Birmingham. They talk about the impact of COVID-19 on the market, the benefits of C-class properties, and the importance of working with an expert if you’re a beginner investor.
- The housing crisis right now is the opposite of the 2007-2008 crisis, in that we currently have a housing shortage.
- Businesses are closing or scaling back, but other companies are necessities and are growing.
- How businesses operate is going to change moving forward, and companies may not need large commercial properties anymore.
- In 2019, the Birmingham market was really strong, growing the most in April.
- In February and March 2020, the Birmingham market leased double the number of homes as the same months in 2019.
- Rent and mortgage rates have dropped, so now is an excellent time for investors to get higher class properties for their portfolio.
- They recommend diversifying your portfolio if it’s an option for you.
- In Birmingham, there are east side and west side C-class markets, and they are significantly different.
- There are some towns and neighborhoods in each of these markets that they highly recommend as profitable areas for investors.
- These areas see significant property appreciation because of their proximity to the Birmingham city center.
- In flips, rehabs, and renovations, the focus right now should be on home office space due to the changing work environment in the pandemic.
- There are places outside the main high value areas in the west side market where you can buy a home for under $10,000 and put a tenant in it to get some cash flow, but Jonathan strongly recommends finding somebody reputable to guide you through the process.
- Birmingham is a great city to start in as a new investor because it has every type of property you might be interested in and could be an effective gateway to expanding your portfolio in other cities.
3 Key Points:
- The rental market in Birmingham is doing better right now than it has in recent memory.
- There are options in Birmingham for if you want to invest a small amount of money as a first time investor and can get quick, steady cash flow, or if you want to make a larger investment for greater appreciation of value.
- This is an opportunity for investors to seize the moment for finding good deals on properties and being confident they can lease them quickly.
- “You probably have to consider this in your rehabs, your remodels: the focus being on office space in the home. Given the current situation, given the new work environment, putting more emphasis on that.” –Bryan Jenkins
- “There’s a place you can go and you can spend almost nothing, and you can put a tenant in the property. You can make some cash flow. If that’s all you’re concerned with, if that’s what you want to do, it’s really easy and quick to do.” –Jonathan Cook
- “Most of the time that I’m actually working as a realtor, that’s my discussion. That’s who I’m talking to, is people who’ve got about 100—that’s what I can comfortably spend. Help me aim this $100,000 in a direction. Find me a few things to show me what I can do with it.” –Jonathan Cook
- Check out our website ahiproperties.com
- Check out Birmingham Insurance Group online or call them at (205) 616-1107
- Buy, sell, and own investment properties the way the pros do it with www.roofstock.com
- Email Jonathan and Bryan at Podcast@AHIProperties.com
- Rent relief GoFundMe