The numbers work. So far I’ve not seen examples showing a bottom line as nice as what we’re finding in Texas. But the numbers work. Anything in a B+ location or better allowing a break even or better with 10% down — works.
Combine steady jobs and job growth, with an entire region’s ability to live at or below their means, and you get a lot of investors. Kansas City people simply don’t keep up with the Jones’s. They are the Jones. 
It’s refreshing. Kinda like the Kansas City winter weather.
This seems to apply to tenants to a great extent. Imagine tenants not trying to beat their neighbors in the new toy of the week contest. Properties get rented there. Midwest values — character matters.
The only downside is the amount of product available — not enough.
Our next step is to locate quality builder/developers who’d like us to look at their projects.
If you’re an investor looking for areas in which the numbers work, and quality locations are still affordable — Kansas City should be on your list. It took us awhile to get there, but it was worth the wait.
Long term capital growth is definitely available there. Lenders like the area because the, (you guessed it) numbers work. They’ll never, probably never be able to talk about double digit appreciation. They will however, provide solid growth opportunities for your investment capital. It’s amazing what you can accomplish with fixed rate amortizing loans — prudent leverage — and plodding, year after year single digit appreciation.
As the old TV commercial used to say, “Try it, you’ll like it.”
We sure do.
Related posts:
- Random Thoughts On Kansas City
- Kansas City Mortgage Broker — Kansas City Mortgage Broker — KC Mortgage Broker
- Back From Kansas City — Great People — We’ll Be There Often
- Solid Analysis Of Your Potential Real Estate Investment Isn’t Optional
- Real Estate Investment In Texas — Go South of the DFW Metroplex
About BawldGuy
Which Kansas City? And of course this is a leading softball question. I take it you are talking greater metro and you have some favorites within?
Sure do — we’re staying a little close to the vest now Robert, cuz we’re in the feeling each other out/negotiating phase.
I can say Blue Springs, just over the border in Missouri looks fine. Olathe Kansas is solid also.
We found KC to be unlike what some led us to believe. It was better. It was also colder.