Hi everyone, when I eventually get ready to invest in real estate I will not be able to start out where I live here in westchester county, New York or anywhere somewhat close (1-2 hours maybe more) to here because of the really high prices. I don't know wether I should go further upstate or even in New Jersey or Connecticut which would be a long drive, or invest out of state so I can get better cash flow for a lower initial purchase price, then eventually I can work my way to invest here(if that would even be worth it). Does anybody from this area or any area in general that is very expensive have any advice for somebody just starting out like me. Please help me out on what to do. Overall, would it even be worth it to invest here even when I have more money down the line? Should I invest out of state? Where should I invest? Thanks for any advice!
invest in the Midwest. You could get a house for $35k that rents for $7-800.
Look into foreclosures in your local market that you can BRRR (if you are interested in buy and hold) or flip if that is your goal. Nothing beats knowing the neighborhood as far as understanding returns, rehab potential, best areas, etc. Look on auction sites for your options, if you have a good deal, financing is not that hard to get.
Or consider turnkey rental companies where you can invest your money in a home that the company rents out for you. Supposedly decent returns and very hands off. If you don't have much to start out with, consider trying wholesaling or working with a local investor.
@Account Closed Many many investors living in expensive areas invest OOS, myself included. But what you do can depend on the kinds of REI you want to do. Are you looking for something more passive or do you want to be more involved/hands on. For more passive investing, I have written a BP blog article Three Key Routes for Passive Real Estate Investing that you might find useful.
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