out of state investment in multifamily house

8 Replies

hi

I own a single family rental property in southern ca.  I have been doing it just over a year and that gave me little confidence to explore investing more.  I am thinking of buying 2-4 units in phoenix, az.   I have a friend living there who can help me with occasional visit if I need to check out anything.  But I have to hire a good property management.  This is where I am being cautioned by everyone I have been discussing this idea.  It seems impossible for a newbie to find a good property management. 

My plan is to take cash out of my house and put it as down for this investment.  I started working with some agent for refi and i might be able to get pre qualification.  The math seem to work ok but big variable seem to be property management. 

So far the advice I have been getting are all pretty discouraging.  So wanted to check with some experts here.

Originally posted by @Lenin Belangonda :

hi

I own a single family rental property in southern ca.  I have been doing it just over a year and that gave me little confidence to explore investing more.  I am thinking of buying 2-4 units in phoenix, az.   I have a friend living there who can help me with occasional visit if I need to check out anything.  But I have to hire a good property management.  This is where I am being cautioned by everyone I have been discussing this idea.  It seems impossible for a newbie to find a good property management. 

My plan is to take cash out of my house and put it as down for this investment.  I started working with some agent for refi and i might be able to get pre qualification.  The math seem to work ok but big variable seem to be property management. 

So far the advice I have been getting are all pretty discouraging.  So wanted to check with some experts here.

Originally posted by @Lenin Belangonda :

hi

I own a single family rental property in southern ca.  I have been doing it just over a year and that gave me little confidence to explore investing more.  I am thinking of buying 2-4 units in phoenix, az.   I have a friend living there who can help me with occasional visit if I need to check out anything.  But I have to hire a good property management.  This is where I am being cautioned by everyone I have been discussing this idea.  It seems impossible for a newbie to find a good property management. 

My plan is to take cash out of my house and put it as down for this investment.  I started working with some agent for refi and i might be able to get pre qualification.  The math seem to work ok but big variable seem to be property management. 

So far the advice I have been getting are all pretty discouraging.  So wanted to check with some experts here.

Property  managers are difficult for small project. One,if they have similar properties in the area that may help. the quality of the property is also a factor. Some properties are very management intense and would not meet the p.m. standards.  The cost of professional managers may limit the appeal of the property. 

Thanks guys.... @Lenin Belangonda PM me here on BP or better yet email me at [removed email address] I'd be happy to tell you what's what from my perspective and I'll also tell you that you should factor in about 10% for good property management from the beginning and then find someone that fits your style for about 10%. That's what I believe Phoenix and most other markets to be. The key is to talk to them and see that they fit your style.