Anyone done Out of State Rental Investment?

[Carlos Rodrigues]

Good evening BP. I'm a new real estate agent here in NJ seeking some advice on out of state rentals. I was considering looking into purchasing single family properties in areas of Tampa or Orlando Florida for around $50k cash and renting them out. I know I'd have to study the market, to insure a good deal. If you've invested in out of state investments what is it that you could advice to me? Any guides/ links...

Thanks in advance.

[Ali Boone]

I wouldn't trust any property in Tampa or Orlando for $50k. That will be a very high-risk property, either from the property condition standpoint or tenant quality standpoint, or both. Very few markets have properties at $50k that wouldn't be high risk right now. If you are up on how to handle those types of properties, it can be doable, but long-distance would be hard. 

I've always invested out-of-state (I live in LA). The key is the teams you are working with- since you aren't there to do everything and therefore have to rely on other people. Those people can make or break your investment.

On a good note, if you are an agent, there are opportunities to make commish on even out-of-state properties you buy!