Yonkers, NY · Member since 2017 · 12 posts · 2 votes
Hi everyone, since I live in New York and the prices are so high up I was thinking to invest out of state to get better deals, but would it be a smart idea to do since I am a complete beginner to real estate investing? Also what are some of the best places to invest in as a beginner?
@Michael Kantar I'm from New York also and just recently got into real estate investing. I chose to invest out of state. In particular Dallas and Memphis. It's important to find a property manager you can trust. PM me if you any questions. Good luck.
@Michael Kantar I'm from New York also and just recently got into real estate investing. I chose to invest out of state. In particular Dallas and Memphis. It's important to find a property manager you can trust. PM me if you any questions. Good luck.
I have been investing out of state since the crash and I can tell you that it is not a bad idea to invest out of state off the bat BUT you need to work with someone who has done this type of investing and has succeeded at it. I would not recommend you starting out completely on your own. Investing out of state has extra steps and processes that you need to have in place if you want to succeed for the long term. Best of luck and if you have any specific questions feel free to PM me.
Hi everyone, since I live in New York and the prices are so high up I was thinking to invest out of state to get better deals, but would it be a smart idea to do since I am a complete beginner to real estate investing? Also what are some of the best places to invest in as a beginner?
I think that it is tough to be a complete beginner and do your first deal out of state. Especially in this environment where real estate prices have run up so much over the least 4-5 years.
IMO there are too many other things to learn as a beginner to make your first property be outside of a 1-1.5 hour driving distance. IMO its real important early on to do minor maintenance, to meet face to face contractors etc.
Michael Kantar Some of the good vs. bad idea depends on your familiarity with property investment, etc. Do you have a random uncle that can give advice? A friend that can help you go through deal analysis? Friends or family living in the market where you want to invest? Basically, anything that will lesson the number of times you smack your investment-shin into the remote-property-coffee-table.
As some random general advice I'd recommend to stay away from C- or anything close to borderline warzone properties. They look good on paper if you're chasing cash-flow. However, even with a property manager they're just more involved. For a first property, that you're not near, you're playing with fire. The catch-22 is that by the time you buy in a solid-B area of Dallas you might be able to find something in a drivable radius around New York.
Thanks for the advice everyone. I just have one more question/statement, so if I where to go get my real estate license in New York, become a real estate agent learn about different strategies from people I meet and also learn things on my own too. Would that be a good idea to then become a real estate agent for a couple of years, then go into real estate investing out of state later on when I understand real estate more and also have more money in my pocket? (Also by the way I'm 18 just graduated from high school)
Thanks for the advice everyone. I just have one more question/statement, so if I where to go get my real estate license in New York, become a real estate agent learn about different strategies from people I meet and also learn things on my own too. Would that be a good idea to then become a real estate agent for a couple of years, then go into real estate investing out of state later on when I understand real estate more and also have more money in my pocket? (Also by the way I'm 18 just graduated from high school)
I cant say definitively, I know its an ongoing debate on these forums and on the podcasts about whether to get ones real estate license. Some say its massively helpful to get access to the MLS etc, some say they dont want the added liability.
I personally dont have mine, but I am thinking about getting one just so that we can get access to look at places, run comps etc.
I dont think there is a right or wrong answer.
If I was young and just starting out with no money and I wanted to make real estate my long term career, I think I would read as much as possible on the topic ex some of the books published by Bigger Pockets, I would read and post in the forums, I would listen to all of the BP's podcasts, I would start attending local meetup groups. Lastly I would look for a seasoned investor who might be willing to take on a young intern who was eager to learn the business and who you might be able to help out in exchange for teaching you how to be an investor.
I would simultaneously work to get a college degree, say in finance, or account. something that could help you supplement your real estate income. It is always easier to start out as a real estate investor if you have a good job that can bring you good old fashioned W-2 income.
To piggy back off of @Bart H. great advice, at this point I would try to attend various networking events, read books, and listen to the pod casts here. Between all of those avenues, you should identify what type of investing interests you the most.
Bart Hedgcock do you think it is necessary to go to college because some people say that it's a waste because there aren't many classes on real estate and also you will learn things other people can teach you, so ultimately you will just be going in debt? But what is your stance on this?
Bart Hedgcock do you think it is necessary to go to college because some people say that it's a waste because there aren't many classes on real estate and also you will learn things other people can teach you, so ultimately you will just be going in debt? But what is your stance on this?
I think college will get you a better job that will increase your chances and offer you more opportunities than going without a degree.
I am against non- real estate debt of all kinds, I like a lot of what Dave Ramsey teaches about changing the paradigm. You are assuming that you need to take on debt to go to college. What if you began with the premise that you would figure out how to go to college debt free?
Secondly, I believe there are a few advantages to college. A college degree, besides making you more marketable on the job front, A good college degree teaches you how to learn. Its about learning how to learn in the future. And that will serve you well in college.
There ARE real estate classes in college, but even if you went with a topic like Finance or Accounting, you will learn a lot about leverage, risk adjusted returns, cap rates, time value of money, discounted cash flows, marketing, depreciation, capital expenditures etc.
Can you get those things from working in real estate? yes I supposed so. But having the background you get from college will help you pick up those topics much faster.
I cant emphasize enough how helpful it will be to have a regular job with W-2 income to help you get that first property or two. Now maybe others on this site have a different viewpoint, but I think you will find having a college degree will help you in a multitude of ways, it will help you buy faster, and will help you cover up mistakes and help you pay for the unexpected.
You are confusing price with value. Just because something is cheap does not necessarily make it a good deal. Just because something is expensive does not necessarily make it a bad deal. Price is what you pay, value is what you get.
Are you in a better position to judge value at home or in a far away market that you are not familiar with? Are you in a better position to control your assets and their operations at home or in a far away market where you will be putting your financial future into the hands of complete strangers and being 100% dependent on those strangers to make or break your investment on your behalf. Where do you suppose you can better analyze and control your risks?
I think you should at least enroll in a community college and minimize your cost while at the same time getting your real estate license and begin getting experience. You're 18 you still don't know which path fits you best, and you will figure it out by gaining experience.
Set your college schedule so that you only have to go two days and you have time to do other stuff on the other days.
I personally think its important to finish anything you start and your education is no exception. Whether you want to pursue higher degrees after your bachelors that's a different story but your young now and you have very little responsibilities in comparison to what your life will look like in a few years. Utilize these years to gain as much experience and better yourself at every step of the way. College is a great way to learn and meet people if you take it serious.. however hands on experience is irreplaceable.
Best of luck, If you want a job in Jericho Long Island, PM me, I can get you an interview at the bank. We're a direct mortgage lender.
well since you don't know what you want to do I would consider things that can be implemented in any industry. I.E accounting, Law etc
But don't you have to get some core classes out of the way first ? I'm pretty sure taking those will Give you 2 years time to get them out of the way until you have to choose a major.
By then you'll have experience in real estate and you'll have a better idea of what you want to do.
All these are opinions of course I could be completely wrong just offering a way to think about it. I think you can do both, it all depends how much of your life you're willing to commit.
As a real estate broker in Brooklyn with 15 agents, I concede that I am of course biased in this regard, but I always think it's a great idea to get your New York real estate salesperson license. The NYC market is a unique training ground in and of itself that can help to prepare you for a future in all aspects of the real estate game.
Michael Kantar welcome to BP. Good that your looking for help. those are big questions your asking. Some of those you really need to answer yourself.
It sounds like you need to set some goals. I could be wrong but in your questions I didn't see a goal you were working towards. Have you read think and grow rich? That was a good one for me.
On investing out of state are you holding a specific amount of money your looking to invest? You might want to look closer to home. A small piece of a large pie can be as great or greater than your own whole pie in another town hours away.
On college I don't think anyone can answer that for you. They like me can pass along their own experience.
Getting an agents license isn't exclusive to going to college or not. I might to with that route, depends on your goals. Have a plan before you start taking action.