Buy properties out of state during my 1031 exchange?
I’ve grown tired of Washington taxes, traffic, politics and weather. I’ve visited Fairbanks Alaska and Las Vegas Nevada over the last couple of years. I liked both. They both meet my criteria, with Vegas getting the better nod due to more tech job opportunities (management) than Alaska (nothing). Plus Vegas is centrally located and has nicer weather and better entertainment options.
Sooooo, I own a few rentals here in the Puget Sound/King County and am selling another one via a 1031 exchange (have done them before). I was thinking of using the money to buy in Vegas via a realtor instead of buying replacement properties here. As it stands, I’m scheduled to move in just over 3 years. I’m considering either speeding this up or slowing it down depending on career opportunities and quality of life here.
The only concern I have is that I’d have to hire a property manager. So basically slightly cash flow negative or break even, depending on the property.
I am not sure whether I should just buy here again for now or begin building assets in Las Vegas? I could buy four replacement properties there or two here.