Flipper/Rehabber · Denver Metro, CO · Member since 2020 · 9 posts · 1 vote
I have been saving up money to buy a first home for about 2 years. I recently decided it might be better to buy a rental property out of state due to the cost of living here in Colorado. I just wanted to get some thoughts on what others think or advice based on others personal experience.
Investor · Memphis, TN · Member since 2013 · 741 posts · 845 votes
6y
Hey @Cole Lynch! You can totally buy out of state, there are a lot of folks doing it! I would say make sure you find the right team! Try to find your network of people you can trust and work with! Always have checks and balances. Pick a market that if you need to go is not too far away. Maybe a short direct flight away or a couple hours drive.
Investor · Memphis, TN · Member since 2013 · 741 posts · 845 votes
6y
Hey @Cole Lynch! You can totally buy out of state, there are a lot of folks doing it! I would say make sure you find the right team! Try to find your network of people you can trust and work with! Always have checks and balances. Pick a market that if you need to go is not too far away. Maybe a short direct flight away or a couple hours drive.
Investor · Shelton, WA · Member since 2017 · 6k+ posts · 6k+ votes
6y
@Cole Lynch it is a trade off. If it is local you have control, you can self manage, and you have experience doing refurbs etc. OS you need to focus on a team; agent, PM etc. That can can work well too; but there is more risk. Given the circumstances I would look for states/jurisdictions where evictions are still going on-not that you are going to evict anyone-but tenants are likely more respectful. Yes those jurisdictions still exist.
Be very thorough in your underwriting, see the properties-every unit-yourself and don't take anything at face value. And get properties that are 'ready to rent' with minimum of work. All the best!
Property Manager · Cleveland, OH · Member since 2019 · 446 posts · 566 votes
6y
I also recommend to build your team first. Research a few different markets. Try to visit, if/when you can do so safely, and just drive around the different neighborhoods.