Quote: (01-23-2014 04:02 PM)WesternCancer Wrote:
My question is: would it be a good move to 'invest' in Detroit real estate (around areas which might be starting to get better). If people are snapping up places for dirt cheap would it be smart to drop a few grand, own some property?
Do you guys think the city, or specific neighborhoods, will ever bounce back yielding a large return on your initial investment?
Say you did buy property in an area which might improve in the next few decades would it be smart to let people live there in return for taking care of the place/fixing it up?
It could take a long time for "flippers" to see any return on real estate properties in Detroit.
I wouldn't rule the city out for making a comeback someday though. The suburbs of Detroit are some of the most affluent in the country and that's where the vast majority of companies that do business in the area are located. The people that live there are the same ones that drive into the city for baseball and (soon) hockey games. You also have Univ of Mich just an hour away in Ann Arbor. Google and a bunch of other tech companies and startups have a presence there. Won't be surprised to see some of these folks creeping into Detroit in the coming years. Everyone loves a good comeback story.
Within Detroit, there's a hipster area within like an 8-block radius of Midtown. Whole Foods opened up there and the store is doing exceedingly well, surprising many. The CEO considers it a long-term investment and sees hope in the city's resurgence. Something to think about.