EP 009 | Lee Yoder | 8% Cap Rates Exist. You Just Have to Go Further Out

Lee Yoder is the founder of Threefold REI, a multifamily syndication company that acquires apartment complexes. Starting with a single house flip in 2017, Lee scaled to 930+ units and has taken three syndications full cycle. He builds his portfolio in small rural markets across Ohio and Indiana where institutional capital won't compete and runs his own in-house property management operation to maximize returns.In this episode, Lee Yoder joins hosts Slocomb Reed and Ian Cruz to break down why he deliberately skips Cincinnati's most desirable properties to buy cash-flowing multifamily in small rural markets and how that strategy has consistently delivered better returns for his investors. Lee and the hosts also dig into the K-shaped rental economy playing out across Greater Cincinnati right now, what the spring 2026 market shift means for operators, and why bringing property management in-house changed everything for his portfolio.What You Will Learn- Why Lee avoids 100+ unit deals in major metros and how he competes by going where institutional buyers won't- The cap rate and cash-on-cash benchmarks Lee targets in rural Ohio vs. what Cincinnati deals are actually producing- How the K-shaped rental economy is splitting the market: Class A rents climbing while C-class one-bedrooms struggle- When to invest in unit renovations and when over-improving actually hurts your bottom line- What it takes to build operational expertise in a market you don't live in- Why Lee brought property management in-house and how it changed his incentive structure- What the late-March 2026 leasing surge looks like on the ground across Greater CincinnatiTimestamps:- 00:00 – Introduction & guest welcome- 02:15 – Lee's investing journey: From one flip to 930 units- 05:00 – Why Lee stopped chasing deals inside Cincinnati- 09:30 – How institutional buyers win on price and why you can't out-compete them- 13:00 – Going rural: Small markets, less competition, better yields- 17:00 – Two strategies for avoiding institutional competition (Lee's vs. Slocomb and Ian's)- 21:30 – Williamsburg, Ohio: Who lives there and why- 27:00 – Unit mix, current rents, and leasing conditions in spring 2026- 31:00 – East side Cincinnati oversupply and how new deliveries hit C-class occupancy- 36:00 – AI leasing tools, Rent Engine, and the late-March market shift- 42:00 – The K-shaped rental economy: Class A vs. C-class in Greater Cincinnati- 48:00 – When to renovate and when to leave it alone in affordable housing- 53:30 – Bringing property management in-house: The why, the when, and the tradeoffs- 59:00 – Cincinnati hidden gems: Bike trails and the Little Miami Scenic Trail- 63:00 – Final thoughts and listener CTAThe Cincinnati Real Estate Investing Show is hosted by Slocomb Reed and Ian Cruz. New episodes every week. Subscribe, leave a five-star review, and share with a fellow investor.