BiggerPockets

Virtual Investing Still Takes A Team

I am a fan of investing in Real Estate Markets that have solid demographics and cash flow. So sufficet to say that much of the investing I do is thousands of miles away for where I live. Our sister company, The Real Training Insittute has been advocating this approach for years.

However, I have seen an alarming trend growing in the world of "virtual investing". With the sophistication of the internet it is easy and simple to purchase very low cost properties across the country. The problem with this is not with the properties or the market, but in the due diligence and team building that buyers do prior to purchasing a property.

Owning Out of State Real Estate can have many advantages…Price, Cash Flow, etc… But one of the main disadvantages is that you cant just drive over to the property to fix the toilet, or collect the rent. So prior to purchasing a property we advocate building a support team first.

Your Support Team

1. Property Management Companies (you should have at least two)
2. Handyman
3. Contractors
4. Insurance Agents
5. Local Lawyer
6. Inspectors

Setting up this team takes a little work on the front end, but will save a lot of head aches on the back end. In addition this team can give you advice as to the property you are evaluating, the neighborhood, the price, the repair costs, and after repair value.

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