I'm ready to start investing in Single family homes or multi's

4 Replies

Hey everyone, I want to start and I have been searching for properties in South Carolina and I'm looking at house hacking, The problem I am running into is how do I know an area is a good area to start my real estate journey in since I see real estate all around.  I have been using the BP renter calculator and so far the properties I am choosing seem to provide between a 9-10% cap rate, any advice would be great on how to know if a location is good.

@Johnathan Watkins the best ways are connecting with other local investors or talking with an investor-friendly real estate agent about best areas. Chatting with people who are doing what you’re wanting to do is the best way to find out! A good first step is checking on meetups.com or in the “network” section of BiggerPockets to find meetups and agents. Good luck!

@Johnathan Watkins I agree with previous post from Grace, connect with local investors, real estate agents, and property managers. This is the route I take when looking to invest in areas I am unfamiliar with. I also do my own research and look at population trends, school districts, crime stats, proximity to major employers and amenities.

@Jonathan Ramos - Utilize neighborhoodscout and citydata websites to understand what city / neighborhood you are truly investing in. Before getting into returns, ensure the area and city you are investing in has long term viability. For instance, look at the population growth, poverty rate, medium income, variety of employment, employment opportunities, schools. For instance, I am bullish on anywhere that has a lot of tech jobs moving into. Usually that comes with higher income levels which naturally raises the standard of living among the town residence and as a result, raises the value of your asset.