Thoughts On Investing Out Of State

[Diran Deukmajian]

Hello. I currently own an investment property in my home state/city (Los Angeles, CA), and was considering buying a rental property in another state. One main reason is because the cost of properties outside of California and much more affordable. What are some pros and cons for investing in a property hundreds, if not thousands of miles away? What should I look for? Is this a bad idea? Do I partner with someone to make it easier?

[Samuel Diouf]

Hey Diran, 

I think it all depends on what your goals are and what you want to get out of real estate. If you're interested in out-of-state investing, there are some great opportunities in the Ohio markets. Many investors from California buy residential homes locally but invest in the mid-west because of the yearly cash returns making more sense in these lower priced markets. I moved from Florida to start investing in Columbus and Cincinnati. 

You would definitely need to build your core-4 so you have a solid foundation to build on. The core-4 consists of a realtor, contractor, property manager, and a lender.