New to Real Estate · Brooklyn, NY · Member since 2020 · 8 posts · 7 votes
Hi everyone after a long time of reading and learning here it's finally time to introduce myself. My name is Andriy and I'm from Brooklyn, NY.
I am looking to purchase my first rental property but I'm lost when it gets to location picking. Real estate in Big Apple is too crazy, to begin with, so I need something out of state. How to decide on the market? What to look for? Does it matter if it's a 3-hour drive or on the west cost? How is the experience of purchasing out of state when it comes to my availability there?
I have about $50k cash to make the deal and pre-approved for $200k property with 15% down.
Open to all advices on which location to start looking at with my budget.
If you are looking to invest out of state, right now it is really important to consider eviction legislation in that area (so I would avoid the west coast for that reason). In addition, you need a team you can trust to pick properties and manage them for you. You need to ask yourself how often you can stop by to see your property? And are you looking for a turnkey property? Or do you want something that needs work? If it needs rehab, who will manage it. If you are looking at SFR, I would plan on visiting it at a min. once a year (although with video and ability to FaceTime this need is decreasing). Ask yourself where you can get to--is there a direct flight, how long is the drive, etc. How much are you willing to travel?
I assume based on your budget that you are looking a SFR. I would compare deals across your top couple markets and weigh out the potential gains vs. market desirability.
Investing out of state for the first time is terrifying. But it gets easier as you grow your team and increase your experience!
Midwest is where most choose. I'd be happy to discuss KC. Market is growing but you can find properties that are 80-150 in good suburbs with strong rents.