Out of state investing
Hello everyone from the BiggerPockets community!
This is my first post, and I wanted to say I am glad that this forum exists!
I am currently looking to invest out of state as I live in Chicago, IL, where it is really hard for the numbers to work. I've already read quite a few books on real estate investing including "long-distance real estate investing" by David Greene (great book by the way), and I learned that investing locally and out of state essentially has the same process thanks to technology. So, I've decided that Indianapolis, IN was the place I wanted to invest in. My goal is to find a distressed property around $100k, fix it up, and rent it out. I would be happy with $300 cash flow per month after all expenses. I found a pm company I am interested in, and I am still looking for a real estate agent and a lender.
I am also moving out of my parents house soon, and I am deciding on whether to rent or purchase a duplex/triplex with a 5% conventional loan here in Chicago. I would probably be cash flowing negative if I were to buy a duplex with a 5% conventional, so I am leaning towards renting somewhere cheaper until I see how the investment property in Indiana pans out. If all things seem to be good, I can purchase a couple more in IN, and hopefully the CF from the out of state investment properties eventually cover my rent. Is this an ok plan?