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Luis Rodriguez
  • Queens, NY
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Buying your first property out of state...

Luis Rodriguez
  • Queens, NY
Posted Apr 7 2016, 12:50

I'm looking to buy my first multi family home for cash flow by the end of the year. I just joined BP and still soaking up all the info I can. I've saved a decent amount of money,I don't have any debt, and have great credit scores.

I wanted to ask how did other investors in my position go about finding homes out of state ? How did it turn out ? Any advice on the do's and dont's ? I would of loved to have been able to manage something local but thats not going to happen in NYC. PA,FL, and GA seem like good places for cash flow.

Thanks in advance.

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John Van Uytven
Pro Member
  • Property Manager
  • Oconee, IL
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John Van Uytven
Pro Member
  • Property Manager
  • Oconee, IL
Replied Apr 7 2016, 12:56

@Luis Rodriguez

Most importantly, find people on the ground you can trust.

Without trusting your partners or managers, your business is dead in the water.

The saying goes something like: A great manager with a mediocre business is better than a mediocre manager with a great business. 

Even worse still is a manager who is dishonest, and could bill you right into bankruptcy.

Find your key people, then if they are that good they could probably help you find a great deal as well.

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Luka Milicevic
  • Real Estate Agent
  • Nashville, TN
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Luka Milicevic
  • Real Estate Agent
  • Nashville, TN
Replied Apr 7 2016, 12:58

I'm guessing you're looking out of state because your local market is too expensive/too hot? Perhaps look at the surrounding suburbs and cities on the outskirts of the metropolitan areas. It's always harder to invest out of state. My first deal was an hour away. Even that was tough. I think there was an early podcast that covered out of state properties. I can't remember which one it was, but check out all the posts and blogs about out of state investing. There are plenty.

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Luis Rodriguez
  • Queens, NY
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Luis Rodriguez
  • Queens, NY
Replied Apr 7 2016, 13:22

Right @Luka Milicevic. NYC has gotten insanely expensive. I would love to house hack but the numbers don't add up.

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Ankith Chandra
  • Houston, TX
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Ankith Chandra
  • Houston, TX
Replied Apr 7 2016, 15:33

@Luis Rodriguez: There is a podcast on out of state investing featuring @Mehran kamari 

https://www.biggerpockets.com/renewsblog/2014/06/0...

As @John Van Uytven mentioned you would need a person with boots on the ground in the target location. I hope this helps. 

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Luis Rodriguez
  • Queens, NY
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Luis Rodriguez
  • Queens, NY
Replied Apr 7 2016, 16:29

Thanks, I'll listen to it tonight.

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Bhekizwe M.
  • Bulawayo, Zimbabwe
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Bhekizwe M.
  • Bulawayo, Zimbabwe
Replied Apr 9 2016, 11:21
Originally posted by @John Van Uytven:

@Luis Rodriguez

Most importantly, find people on the ground you can trust.

Without trusting your partners or managers, your business is dead in the water.

The saying goes something like: A great manager with a mediocre business is better than a mediocre manager with a great business. 

Even worse still is a manager who is dishonest, and could bill you right into bankruptcy.

Find your key people, then if they are that good they could probably help you find a great deal as well.

Very true.the business rises or falls to the level of the people