Investing out of state?

Question

Hi guys, I'm Brandi &  I live in Southern California and I'm absorbing all the knowledge I can about beginning in REI, but I'm noticing that the more I'm learning I'm wondering if my ROI would be better out of state.. Houston and Dallas, TX mainly? Does anyone have any experience or advice on out of state investing?

Jay Hinrichs · Answer

@Brandi Williams  most out of state markets are pretty interchangeable.. investors buy for cash flow and appreciation if they get it is a bonus.. ( I personally like both)

But compare many markets  you will have fun looking at all the different areas to invest in and one may resonate.

I just spend 3 days in Dallas and I have 11 fix and flips going there.. ONe thing I can say from one investor to another .. Is you need to put money aside for foundation issues its not if Its when.. everyone of my homes I had we had some sort of work to do to address shifting soils.. No one talks about that because they don't want you to know but Its something you should defininetly  understand if you think Texas is your market.

Ozzy Smith · Answer

I'm not from Ohio but I moved here just for the summer 13 summers ago!  I stay because I realized early that you can't find better returns anywhere else for the money.  Last quarter there was an article from one of the real estate magazines that had Dayton OH (where I live) as the number 2 metro city in the USA for ROI!!!!  If anyone is interested let me know.  I would entertain doing some JV's and give you everyday boots on the ground.

Aimee Sowards-Mounts · Answer

I agree Sean, best market here in Ohio. I'm an agent in the Columbus OH area marker and it's an investors dream here! My investors are killing it!

Ali Boone · Answer

Hey Brandi! I live in Venice and I've only invested out-of-state. It's all about preferences.... if you are in it for the monthly cash flow, then definitely head out-of-state. If you are more interested in appreciation type deals, stay here (with higher capital). Out-of-state is definitely doable though! I love it.

How many references are you getting from people now about Compton since the Straight Outta movie is coming out? ;)

Bryan C. · Answer

@Dawn Anastasi thanks for putting the link on there.  Investing out of state can be challenging.  It is imperative that you have someone you can trust that is local to that area.  If you have no one local then be careful with who you decide to trust to help you.  I am military investing from overseas right now and it can be quite a challenge but I take more time analyzing deals and vetting the people I am dealing with because there are many people out there just looking to take your money!

James Clark · Answer

@Dawn Anastasi

Thanks for explaining, I was not trying to be a smart a## , I was really asking. I should click on the links next time ;)

Dawn Anastasi · Answer

I actually included a link in my post you can click on to some recent posts about investing out of state from the Bigger Pockets website.

James Clark · Answer

@Dawn Anastasi

Can you elaborate more on Google Search? I was wanting to learn more on out of state and when someone gives advice and only say's Google search, what do you mean? Just type ( out of state investing ) ? Can you please explain more on Google search.

Thanks

Investing out of state?

Most Popular Reply