Flipping out of state

12 Replies

I wanted to hear some opinions or past experiences regarding flipping properties out of state. How risky is that? what are some of the pros and/or cons, is it common to do? Let's say you live in a very inflated market that is not in good conditions to flip, could you manage to flip in other states?

Arturo.

I'm managing about 10 flips out of state right now. So certainly is plausible. 

You just have to spend the time to create the teams on the ground who can handle all of this work for you. 

Hello Arturo,

When investing out of state it's very important to have boots on the ground that can go out to the property every couple of weeks and and take pictures to show you progress.  I like to see a scope of work in 3 phases and make sure the pictures include proof of each phase being completed in the time frame the contractor has outlined. In the end its your job to mange these people, and time is money. Especially when financing - holding costs can get expensive.  I work with a company here locally in Chicago that provide the foreclosure, rehab teams, and boots on ground. Very organized operation.

Originally posted by @Antoine Martel :

Arturo.

I'm managing about 10 flips out of state right now. So certainly is plausible. 

You just have to spend the time to create the teams on the ground who can handle all of this work for you. 

 Can I ask you how you went about creating your teams? Are you referring to your core 4? (real estate agent, contractor, project manager (if needed) and lender (if needed) 

Originally posted by @Mohammad El Sahlah :
Originally posted by @Antoine Martel:

Arturo.

I'm managing about 10 flips out of state right now. So certainly is plausible. 

You just have to spend the time to create the teams on the ground who can handle all of this work for you. 

 Can I ask you how you went about creating your teams? Are you referring to your core 4? (real estate agent, contractor, project manager (if needed) and lender (if needed) 

 Yes that is what I mean by making a team on the ground. 

You will need all of those groups on the ground to make your projects a success.

I would do a lot of cold calling and networking with people in your local market. 

Learn about the market a little bit and then find a large player in the market and use them or ask them for referrals. 

Originally posted by @Antoine Martel :
Originally posted by @Mohammad El Sahlah:
Originally posted by @Antoine Martel:

Arturo.

I'm managing about 10 flips out of state right now. So certainly is plausible. 

You just have to spend the time to create the teams on the ground who can handle all of this work for you. 

 Can I ask you how you went about creating your teams? Are you referring to your core 4? (real estate agent, contractor, project manager (if needed) and lender (if needed) 

 Yes that is what I mean by making a team on the ground. 

You will need all of those groups on the ground to make your projects a success.

I would do a lot of cold calling and networking with people in your local market. 

Learn about the market a little bit and then find a large player in the market and use them or ask them for referrals. 

That is where I am at now. I am trying to zero in on a place to invest right now. Currently, I am in between Las Vegas, Texas and Florida. (Or perhaps I can all three If I could) I have a 100k cash and I am trying to invest it into real estate, I've been researching a lot and I think I could either flip or BRRR to start out. (Fine with either one)

Where do you have your investments? and will you continue investing in those areas? Any hiccups? If you don't mind elaborating on your current portfolio, that would help me out a bunch. 

Originally posted by @Mohammad El Sahlah :
Originally posted by @Antoine Martel:
Originally posted by @Mohammad El Sahlah:
Originally posted by @Antoine Martel:

Arturo.

I'm managing about 10 flips out of state right now. So certainly is plausible. 

You just have to spend the time to create the teams on the ground who can handle all of this work for you. 

 Can I ask you how you went about creating your teams? Are you referring to your core 4? (real estate agent, contractor, project manager (if needed) and lender (if needed) 

 Yes that is what I mean by making a team on the ground. 

You will need all of those groups on the ground to make your projects a success.

I would do a lot of cold calling and networking with people in your local market. 

Learn about the market a little bit and then find a large player in the market and use them or ask them for referrals. 

That is where I am at now. I am trying to zero in on a place to invest right now. Currently, I am in between Las Vegas, Texas and Florida. (Or perhaps I can all three If I could) I have a 100k cash and I am trying to invest it into real estate, I've been researching a lot and I think I could either flip or BRRR to start out. (Fine with either one)

Where do you have your investments? and will you continue investing in those areas? Any hiccups? If you don't mind elaborating on your current portfolio, that would help me out a bunch. 

 I invest in Memphis, St Louis Cleveland Akron Birmingham.

Have you thought about investing in any of these places?

The cities that you have mentioned are good but just a little bit expensive on the rent to value scale. 

In my markets they are very stable and I haven't had any hiccups.

Are you looking to buy rental properties for cash flow or are you looking to flip houses?

I've been doing it for a couple years in Indianapolis.  It was a little scary and rough in the start.  For me, it is all about establishing strong relationships on the ground where you want to invest.  

Originally posted by @Antoine Martel :
Originally posted by @Mohammad El Sahlah:
Originally posted by @Antoine Martel:
Originally posted by @Mohammad El Sahlah:
Originally posted by @Antoine Martel:

Arturo.

I'm managing about 10 flips out of state right now. So certainly is plausible. 

You just have to spend the time to create the teams on the ground who can handle all of this work for you. 

 Can I ask you how you went about creating your teams? Are you referring to your core 4? (real estate agent, contractor, project manager (if needed) and lender (if needed) 

 Yes that is what I mean by making a team on the ground. 

You will need all of those groups on the ground to make your projects a success.

I would do a lot of cold calling and networking with people in your local market. 

Learn about the market a little bit and then find a large player in the market and use them or ask them for referrals. 

That is where I am at now. I am trying to zero in on a place to invest right now. Currently, I am in between Las Vegas, Texas and Florida. (Or perhaps I can all three If I could) I have a 100k cash and I am trying to invest it into real estate, I've been researching a lot and I think I could either flip or BRRR to start out. (Fine with either one)

Where do you have your investments? and will you continue investing in those areas? Any hiccups? If you don't mind elaborating on your current portfolio, that would help me out a bunch. 

 I invest in Memphis, St Louis Cleveland Akron Birmingham.

Have you thought about investing in any of these places?

The cities that you have mentioned are good but just a little bit expensive on the rent to value scale. 

In my markets they are very stable and I haven't had any hiccups.

Are you looking to buy rental properties for cash flow or are you looking to flip houses?

I heard the cash flow in Cleveland is very nice of using the BRRR strategy. I believe the smarter thing for me is to buy rental properties for cash flow right now and eventually get into flipping houses. Can you give me a quick breakdown of one of the properties you worked in cleveland? For example; cost, fixing cost, mortgage, closing costs, rental income, etc...

This post has been removed.

Originally posted by @Antoine Martel :
Originally posted by @Mohammad El Sahlah:
Originally posted by @Antoine Martel:
Originally posted by @Mohammad El Sahlah:
Originally posted by @Antoine Martel:
Originally posted by @Mohammad El Sahlah:
Originally posted by @Antoine Martel:

Arturo.

I'm managing about 10 flips out of state right now. So certainly is plausible. 

You just have to spend the time to create the teams on the ground who can handle all of this work for you. 

 Can I ask you how you went about creating your teams? Are you referring to your core 4? (real estate agent, contractor, project manager (if needed) and lender (if needed) 

 Yes that is what I mean by making a team on the ground. 

You will need all of those groups on the ground to make your projects a success.

I would do a lot of cold calling and networking with people in your local market. 

Learn about the market a little bit and then find a large player in the market and use them or ask them for referrals. 

That is where I am at now. I am trying to zero in on a place to invest right now. Currently, I am in between Las Vegas, Texas and Florida. (Or perhaps I can all three If I could) I have a 100k cash and I am trying to invest it into real estate, I've been researching a lot and I think I could either flip or BRRR to start out. (Fine with either one)

Where do you have your investments? and will you continue investing in those areas? Any hiccups? If you don't mind elaborating on your current portfolio, that would help me out a bunch. 

 I invest in Memphis, St Louis Cleveland Akron Birmingham.

Have you thought about investing in any of these places?

The cities that you have mentioned are good but just a little bit expensive on the rent to value scale. 

In my markets they are very stable and I haven't had any hiccups.

Are you looking to buy rental properties for cash flow or are you looking to flip houses?

I heard the cash flow in Cleveland is very nice of using the BRRR strategy. I believe the smarter thing for me is to buy rental properties for cash flow right now and eventually get into flipping houses. Can you give me a quick breakdown of one of the properties you worked in cleveland? For example; cost, fixing cost, mortgage, closing costs, rental income, etc...

 I sell properties in Cleveland for $60-70k, which rent out for 700-800$/mo. After all expenses and financing these properties cash flow around $200/mo. 

If you want I can send you a package for a property that I have available now

 
Do you buy them cash? Rehab and rent them out? Do you use the FHA loans? That's good to hear that you are receiving positive cash flow from these.

Currently, I am looking at the Las Vegas housing market and looks as follows

3bed 2 bath for 100k it may need 10-15k worth of work MAX.. but looks like after all said and done, I would have someone rent that place and then positive cash flow would be around 200-250 monthly. 

As you see, It's about 20-30k more than what you had mentioned in Cleveland. Can you send me a package property with the full break down please? I appreciate your help on this. 

Originally posted by @Mohammad El Sahlah :
Originally posted by @Antoine Martel:
Originally posted by @Mohammad El Sahlah:
Originally posted by @Antoine Martel:
Originally posted by @Mohammad El Sahlah:
Originally posted by @Antoine Martel:
Originally posted by @Mohammad El Sahlah:
Originally posted by @Antoine Martel:

Arturo.

I'm managing about 10 flips out of state right now. So certainly is plausible. 

You just have to spend the time to create the teams on the ground who can handle all of this work for you. 

 Can I ask you how you went about creating your teams? Are you referring to your core 4? (real estate agent, contractor, project manager (if needed) and lender (if needed) 

 Yes that is what I mean by making a team on the ground. 

You will need all of those groups on the ground to make your projects a success.

I would do a lot of cold calling and networking with people in your local market. 

Learn about the market a little bit and then find a large player in the market and use them or ask them for referrals. 

That is where I am at now. I am trying to zero in on a place to invest right now. Currently, I am in between Las Vegas, Texas and Florida. (Or perhaps I can all three If I could) I have a 100k cash and I am trying to invest it into real estate, I've been researching a lot and I think I could either flip or BRRR to start out. (Fine with either one)

Where do you have your investments? and will you continue investing in those areas? Any hiccups? If you don't mind elaborating on your current portfolio, that would help me out a bunch. 

 I invest in Memphis, St Louis Cleveland Akron Birmingham.

Have you thought about investing in any of these places?

The cities that you have mentioned are good but just a little bit expensive on the rent to value scale. 

In my markets they are very stable and I haven't had any hiccups.

Are you looking to buy rental properties for cash flow or are you looking to flip houses?

I heard the cash flow in Cleveland is very nice of using the BRRR strategy. I believe the smarter thing for me is to buy rental properties for cash flow right now and eventually get into flipping houses. Can you give me a quick breakdown of one of the properties you worked in cleveland? For example; cost, fixing cost, mortgage, closing costs, rental income, etc...

 I sell properties in Cleveland for $60-70k, which rent out for 700-800$/mo. After all expenses and financing these properties cash flow around $200/mo. 

If you want I can send you a package for a property that I have available now

 
Do you buy them cash? Rehab and rent them out? Do you use the FHA loans? That's good to hear that you are receiving positive cash flow from these.

Currently, I am looking at the Las Vegas housing market and looks as follows

3bed 2 bath for 100k it may need 10-15k worth of work MAX.. but looks like after all said and done, I would have someone rent that place and then positive cash flow would be around 200-250 monthly. 

As you see, It's about 20-30k more than what you had mentioned in Cleveland. Can you send me a package property with the full break down please? I appreciate your help on this. 

 Sure. Ill send you an email.

Free eBook from BiggerPockets!

Ultimate Beginner's Guide Book Cover

Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!

  • Actionable advice for getting started,
  • Discover the 10 Most Lucrative Real Estate Niches,
  • Learn how to get started with or without money,
  • Explore Real-Life Strategies for Building Wealth,
  • And a LOT more.

Lock We hate spam just as much as you

Join the Largest Real Estate Investing Community

Basic membership is free, forever.