Out of State Cash Flow

[Jemini Leckie]

Hello,

I live in a mountain west state, not California. Cash flow is hard to come by and I have considered looking elsewhere in more affordable states. I could come up with a down payment for an investment property in a different state easier than my home state at prices are pretty high in the 300-400 k just for townhomes. Would this be a feasible plan? How would you suggest going about finding a deal and managing it out of state. Traveling to other states isn’t an issue for me.

[Min Zhang]

Since you won't be close to the property, a PM will help you take care of everything from far away. They can find and screen good tenants, so you don’t have to worry about them not paying rent or taking care of the property. The PM will also fix things when needed, using local handymen or contractors, and collect the rent for you. But you also need to check on them for updates so you know how your property is doing financially. They also handle legal matters, like making sure the property follows the rules or dealing with evictions if necessary.

For finding deals, I recommend starting by connecting with investor-friendly agents in your target market. They often have access to off-market properties which gives you less competition. Good luck on your RE investing journey Jemini!