Los Angeles · Member since 2020 · 1 post · 3 votes
Hi everyone, my names Barry and I just got onto the biggerpockets podcasts and videos. Awesome stuff. Been an accountant/finance dude for the past 10+ years and have been itching for something new to put my energy to. The videos and interviews really have gotten me to thinking of investing my hard earned money differently besides my usual 401k/mutual funds/stocks. Problem is, I am in California and it just seems for me that investing in my state requires a ton of capital and I wanted to research more on turnkey and smaller rental properties outside of my state. Well here goes to my new journey. I hope to meet some great people here in the forums and I hope my questions don't annoy. Any recommendations would be appreciated in regards to investing out of state and turnkeys. Thanks fams!
I am a property manager in Kansas City and most of my owners are out of state. This is an excellent market and there are several blog posts by members for you to read through. Explaining the different goals you might be looking for and how different sides of town can help you meet all of those.
If you're looking for any advice on KC my inbox is open, good luck!
@Barry Truong Welcome to BP! Sounds like you have an awesome investor background. While there are some great areas all over the country to invest in, it will depend somewhat on your strategy of choice. I know some people who live in LA and are BRRRRing in Jacksonville, FL. Seems to me that there is a great economy there and prices are low and appreciation is rising. I can put you in touch with them if you are interested. Just PM me if you are!
A lot of people on here like middle America too for cheap property/cash flow reasons. A lot of people are moving there too now that a lot of people are working from home.
If you have any questions and want to connect let me know!
Welcome to Bigger Pockets! It's always exciting when we see people starting to think differently about wealth building. I (obviously) am a big fan of real estate investing. I think investing out of state is a great option for people that live in these really high cost of living areas.
I would say to start narrowing down what you are looking for as far as rental properties, returns, type of area, etc and then try to find a market that fits that criteria. There are a ton of affordable markets, you'll just need to find a team that you want to work with and go from there!
I would say some things that you'll want to consider are population growth, local economy and employers, and state/local property taxes.
@Barry Truong Read up about the pros and cons of turnkey. It's not meant for everyone. One of the biggest con is that you're buying at-least at market price with not much room to add value. But if you're looking to own rentals and be hands-off as much as possible, then it might work for you. Hope this helps.
Barry , welcome to Bigger Pockets! I live in Atlanta, it`s a very hot market right now, very rapid growth . I also partner up with an investor in Indiana. Let me know if you need help with any of those markets :)
Welcome to the world of investing, Barry! The Charlotte market has been very hot also. Take your time and find the right market for you given your goals and objectives.
@Barry Truong Tons of investors jumping into the Kansas City market right now! I work with several investors and wholesalers and we have signed on over 300 new homes for our property management services in just the last 90-days!
I am a property manager in Kansas City and most of my owners are out of state. This is an excellent market and there are several blog posts by members for you to read through. Explaining the different goals you might be looking for and how different sides of town can help you meet all of those.
If you're looking for any advice on KC my inbox is open, good luck!
@Barry Truong I'm a native of CA so I'm quite familiar with the problems you mention. Even if you have the capital to get in to a high cost property and can put a big chunk down, the cash on cash return is very low. That's why so many investors look out of state in lower cost markets. We work with a lot of investors like you who are investing in Indianapolis and Kansas City. My recommendation is to clearly define and quantify your goals and criteria. Once you do that, it will be easier to begin evaluating markets. If cash flow is your goal, you'll obviously want to focus on affordable markets with strong rents. Just as important as cash flow however, are the economic and demographic trends. You should look for markets that have growing populations, growing jobs and diverse, modern economies. This is important to the future value of your asset. Then look for markets with reasonable property taxes and insurance and that have favorable landlord/tenant statutes. Personally, I like Indianapolis and Kansas City for all of the above reasons. If either of those markets are on your radar, feel free to contact me and I can give you more insight.