Is it a great idea to invest in another state? Also can anyone explain to me how to read and understand the demographics of an area?
I strongly believe in investing where you know. It is harder to get to know a market out of your area. Investing out of your area increase cost (travel) and/or risk.
There are many people who do it successfully but don't assume the grass is greener somewhere else.
Great idea, as in, always? No, of course not.
It depends on where you live, and what you want. North Carolina is not, as far as I know, an area that is overpriced- you may be better off in your own backyard.
You can find loads of information on places using your friend Google. Search for the state, the county, the town, find info on demographics, census info, chamber of commerce reports. Compare a bunch of different areas and see what you can see. Then start calling people in those areas and see if they confirm your suspicions or not. It's not rocket science, but it can be tedious- unless you like that kind of thing :)
I would be very careful investing out-of-state. I've seen people lose a lot of money doing that. If you do, research the area carefully and vet your team very carefully (I've run across more than a few unscrupulous investors who sell out of state).
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