Where I Actually Invest in St. Louis
I’m a big believer in buying in the right location. After more than a decade of investing, managing, and walking countless properties across the region, one truth stands out: your location determines your experience as a landlord far more than the spreadsheet does. 📍
When I first started, I chased the cheapest properties I could find in D-class neighborhoods. On paper, they looked incredible. High projected cash flow, low entry price, big spread. 💸 But in reality, I learned the hard way. That meant dealing with loud cars racing down the street, lower-quality tenants and neighbors, tenants reporting gunshots at night, evictions, vandalism, constant turnover, and endless repairs. 🚨 None of that shows up in the pro forma.
Most new investors make the same mistake. I totally understand the appeal. But here’s the truth: cheap properties often come with higher maintenance, more disruption, and more operational headaches. 🔧
As I’ve grown in my real estate career, I’ve shifted my strategy toward B-class and C+ neighborhoods—areas with better schools, more homeowners, solid working-class tenants, and streets that feel stable. 🏘️ Yes, you pay a little more upfront. But it’s absolutely worth it.
Here’s why:
• Tenants are more reliable. They pay on time and take better care of the property. ✔️
• Appreciation is stronger. Your asset grows in value while producing income. 📈
• Turnover drops. Lower vacancy equals better long-term cash flow. 🔄
• Maintenance isn’t constant. A stable environment preserves the property. 🛠️
If you want a smoother experience and a more profitable long-term portfolio, target homes closer to the median price point for the area. Look for properties that are already turnkey, or ones you can add value to through smart rehab. 🔍
Some of my favorite solid, long-term St. Louis investment areas include:
• Florissant 🌳
• Overland 🚗
• St. John 🏠
• University City 🎓
• South City neighborhoods like Tower Grove South 🌿
These pockets consistently attract good tenants, stay in demand, and hold their value.
Buying right in St. Louis is not just about the deal. It’s about the location, the tenant base, and the long-term strategy. If you get those pieces right, the returns take care of themselves. 💼💰
Written by Ben Dao (St. Louis Real Estate Ninja)
