First time investor/ Out-of-state investing

5 Replies

Hello BiggerPockets Family,

So I'm currently serving a 4 year term in the U.S Navy, and my term ends next year. Im going to school in Orlando, Fl, but I'm from Texas, and want my first investment property to be in the Dallas/Fort Worth metroplex. I'm more familiar with the area and market prices seem to be more affordable for my 20% down payment. My question is, is it wise for my first investment property to be out-of-state?

Landon, 

Real estate investing is challenging. Investing out of state ratchets up the level of complexity. Your first few deals should be in markets that you know really well.

@Landon Beamon investing in an area you know, such as DFW, and starting out with rentals isn’t difficult. Especially when your working with a fellow investor/Veteran/Realtor that specializes in helping fellow investors buy and sell in the DFW area. I would also recommend you hire a property management company to manage your rentals. Makes it a lot easier to manage them while you are out of state. 

Hi @Landon Beamon ! Nothing wrong with investing OOS, just adds one extra step to consider. In terms of hiring the right PM, just make sure you get to know the individual / team who you'll be working with! Read reviews, ask around BP etc. And even intuition & first impression are sometimes quite good indicators as well - there's nothing worse than working with a PM who isn't responsive or transparent about things. Hope this helps!


Originally posted by @Landon Beamon :

Hello BiggerPockets Family,

So I'm currently serving a 4 year term in the U.S Navy, and my term ends next year. Im going to school in Orlando, Fl, but I'm from Texas, and want my first investment property to be in the Dallas/Fort Worth metroplex. I'm more familiar with the area and market prices seem to be more affordable for my 20% down payment. My question is, is it wise for my first investment property to be out-of-state?



If you do decide to invest out of state, building a team of professionals is crucial. I would also try and get in contact with other oos investors investing in a that specific area. Good Luck!