Starting Out But Feeling Stuck!

[Alexander Canha]

Hi BP,

I'm new to BP and REI as a whole but have been doing research now and reading some books for some months now preparing to jump in but I'm feeling stuck. I'm looking to get into rentals!

I live in the Bay Area and have enough for a down payment on a property here, however, I know it can be harder to cash flow here and I was thinking maybe i could stretch that money in a different city (thinking about Phoenix area) where the market isn't as high, where I could probably put that down payment into two properties. 

I'm looking for advice. I'd rather invest locally and be able to manage everything myself, however if I'm looking to scale, Bay Area doesn't seem like the right market right now? 

I appreciate any and all advice! Thank you!

[Heather Wilkerson]

Hi Alexander! My husband and I live in San Francisco. We purchased a property locally, remodeled it (including adding a bedroom), added ~$300k in value, then refinanced to get cash out for investment properties out of state. We suggest the both and method. Use value-add property locally (and take advantage of the excellent appreciation rates) to fuel your BRRRR/long-term buy and hold investments in other areas that afford you more cash flow. Always happy to connect over coffee to brainstorm!