Advice for a newbie looking to start out.

4 Replies

Good day fellow Biggerpockets members! So for the past 3 years all I have done is prepare for my real estate investing journey. I have tripled my income, built a strong credit score, saved money for a DP, read books and listened to podcasts, and even taking courses to get my REA license. Yet for all my preparations and planning, I still feel unequal to the task of Real estate investing, particularly out of state investing( Im from California). But I firmly believe that real estate is my path to financial freedom. My goal is reach $5000/month passive income, and I plan on achieving that through gaining 200 net cash flow per door. So I would have to have 25 properties to reach my freedom number. I believe through working hard, being dedicated, and working with integrity, anything can be achieved!! So my questions are as follows:

1) For your first deal is better to fly solo or with a partner? What if you don't have any available partners, how do you find one?


2) What do you do if you find yourself looking at a hot market, in my case Columbus, Ohio. Do you make the market work for you or look elsewhere?

3) For picking a state, I have settled on the Midwest, particularly Indiana and Ohio. I am looking at landlord friendly laws, low property taxes, low median home prices, positive population growth/migration, low unemployment rates, diversity of employment, good schools, low crime. Am I missing anything? 

4) I didn't realize that it could possibly take a while to find a deal. How long does it usually take to find a good deal?


5) There's always the debate between cash flow and equity. I want to get both, but from what I understand it's always either one or the other. Is it possible to find a hybrid market? Do those still exist?


6) For my first out of state investment property should i look for a property with light repairs, or look for one that needs alot of rehab but potential for equity?


7) Should I fight for proerties on the MLS or look for off market deals?


Anywho I realize this an extremely long post. For those who took the time to read it, my gratitude. Any advice or tips will be greatly appreciated. Thank you, have a blessed day!

1) That really depends on the size of the deal and what value a partner would be adding

2) I personally look for off-market deals in my home market of Columbus, network with other realtors and property owners as well.

3) I would identify what you are looking for in a property and narrow down the market within the state even more, but the criteria looks good

4) For the first deal I think finding a deal that fits your criteria and getting started is more important than a home run deal. 

5) You can still buy in good appreciating areas that will cashflow 

6) I would recommend lighter repairs, it is pretty hard to manage out of state rehabs in brand new marekt @Ignacio Linares

Originally posted by @Ignacio Linares :

Good day fellow Biggerpockets members! So for the past 3 years all I have done is prepare for my real estate investing journey. I have tripled my income, built a strong credit score, saved money for a DP, read books and listened to podcasts, and even taking courses to get my REA license. Yet for all my preparations and planning, I still feel unequal to the task of Real estate investing, particularly out of state investing( Im from California). But I firmly believe that real estate is my path to financial freedom. My goal is reach $5000/month passive income, and I plan on achieving that through gaining 200 net cash flow per door. So I would have to have 25 properties to reach my freedom number. I believe through working hard, being dedicated, and working with integrity, anything can be achieved!! So my questions are as follows:

1) For your first deal is better to fly solo or with a partner? What if you don't have any available partners, how do you find one?


2) What do you do if you find yourself looking at a hot market, in my case Columbus, Ohio. Do you make the market work for you or look elsewhere?

3) For picking a state, I have settled on the Midwest, particularly Indiana and Ohio. I am looking at landlord friendly laws, low property taxes, low median home prices, positive population growth/migration, low unemployment rates, diversity of employment, good schools, low crime. Am I missing anything? 

4) I didn't realize that it could possibly take a while to find a deal. How long does it usually take to find a good deal?


5) There's always the debate between cash flow and equity. I want to get both, but from what I understand it's always either one or the other. Is it possible to find a hybrid market? Do those still exist?


6) For my first out of state investment property should i look for a property with light repairs, or look for one that needs alot of rehab but potential for equity?


7) Should I fight for proerties on the MLS or look for off market deals?


Anywho I realize this an extremely long post. For those who took the time to read it, my gratitude. Any advice or tips will be greatly appreciated. Thank you, have a blessed day!

 1 - if you can do it by yourself I would. This will force you to learn so you can add value to partners later

2 - I invest in Columbus, Ohio. If the market is hot in the midwest then chances are it has a lot more upside to go

I will let other people answer the rest

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@Brandon Goldsmith thank you for your reply. Yeaa without throwing caution into the wind, I just want to get started more than anything. Don't want to be stuck on analysis paralysis. But all in all Columbus seems like a good starting point, just hope I'm not too late in joining the fray.