I May Have Bought My Last Property...or Not

 

What started a few years back as a "pre empty nest downsizing" hunt swiftly turned into my current portfolio of four rental properties in four different cities: Philadelphia (2019), DC (2021), Ocean City NJ (2021), and Miami Beach (2022). But while I continue to maintain numerous alerts on Redfin so I get the latest scoop on available properties in places I'm scoping out, it's entirely possible I've bought my last property. Which would be completely fine by me.

The four places I've bought recently were all high-interest locations that, while I could've been completely content never buying there, it seemed likely that it was just a matter of when rather than if. I'm pleasantly surprised to have landed each place so soon, as I'd given myself a much longer buying window than the few years it actually took me.

Conversely, every other place I have an alert on is a much lower-priority, although obviously things can change. Here's a snapshot of some selected locations with descriptions, utilizing a 5-point system in which 1 represents a very low-level hunt that is almost certainly never going to yield an acquisition, whereas 5 is a matter of practically needing to close a deal at some point (as a point of reference, I'd call all of my current holdings solid 4's; nice to haves and high interest, but not necessities).

Keep in mind that the list below represents my preferences, which as you will see are very urban and very value-oriented. Which means that in some cases they are not necessarily the best or most attractive parts of town, and in fact in many cases are intentionally not that, since you get what you pay for and what I'd be interested in paying for is something cheap yet enjoyable (and with the possibility of upside if things break right).

1. Various locations throughout Greater Miami (2). Our current unit cannot be used for long-term residential, so if there's a chance Amy and I would actually move to the Magic City for good, we'd need to get a real place. Currently scoping out the area where we did buy (bay-facing near the Venetian Islands causeway), as well as the part of mainland Miami that faces it (Edgewater, Brickell, Downtown). Would also potentially consider Coconut Grove.

2. Rehoboth Beach (2). We've satisfied our beach house itch via Ocean City, but Rehoboth remains a cherished place for our family. Alas, while I was looking over the past few years, things got really heated and now nothing is even close to being affordable for us. So long as supply remains constrained, I don't see a path forward for a place right downtown, which is where we'd be interested. But it wouldn't be crazy to land another vacation destination, especially when carrying costs in Delaware are so low, so as to increase our revenue potential and personal choices.

3. St. Louis (2). Not sure the numbers will ever work, but if there's a deal to be had for a tiny place right downtown, I'd be interested. Our needs are simple, and there's a grocery store and Y that we like right there. For renters, the selling points are proximity to Arch and baseball stadium. Again, demand may be too inconsistent to pull the trigger. But when things can be had for barely 100 G's, you have to at least look.

4. Washington DC (2). Amy and I look forward to using our very tiny Adams Morgan place some summers, in between renters, and walking or biking to Rock Creek Park or the Zoo from that location. But if we wanted to spend a little more time there or even live year-round, maybe we'd upgrade to a slightly bigger place in the same vicinity. Given that our current place is 340 square feet, basically every other place would be a bigger place!

5. Atlantic City (1). Weird to me that there are very pricey and very, um, not pricey places all close to each other. Train ride to Philly plus legit beach/boardwalk plus lots of attractions equals there's a there there, especially since other factors conspire to mean some properties are truly dirt cheap. I mean, I don't care how run down a place and block is; if it's less than $100K for something you can market to city renters looking for an ocean getaway, you've got to at least look.

6. Baltimore, Wilmington (1). Will probably never pull the trigger here, but there's a potential value play in having a location that is urban with city amenities and within close commuting distance to larger employment centers. In Baltimore, I like Federal Hill. In Wilmington, I'd want to be near a waterfront and within walking distance of the train station.

7. Galveston (1). Coastal town with touristy amenity near a big city. Affordable real estate and low cost of living. That's all I know about this place, but it's enough to keep an eye on.

8. New York City (1). In a different life, I might be a young professional that needed to live in the Big Apple. If so, I'd choose either Coney Island (for the views and amusement park access) or southeast of Central Park near the Vanderbilt Y (not needing a car and avoiding a gym membership maybe makes a 1-bedroom place for a half a mil somehow not insanely unaffordable?).

9. Orlando (1). There's a scenario in which I go absolutely ga-ga about golf, to the point where I want to do it year-round and need a southern destination with tons of flights that I can get to to satisfy my itch. Maybe Charlotte is that (any Queen City residents want to suggest a neighborhood?), but Orlando seems to fit that bill better given the high year-round demand makes finding renters far easier and tons of flights from Philly to choose from.

10. Locations TBD (?). Depending on where Jada and then Aaron and then Asher end up for school and ultimately for when they settle down and start their own families, there may be a real estate play in those locations, as a place to stay when we're in town or to help them get their start in the real estate business. LA? Chicago? Atlanta? I wouldn't rule it out!