Hi there folks-
I'm looking to make my proverbial first investment and from listening to the podcast and reading some of the seasoned investor posts, it looks like multi family is the way I want to go. The only problem is that I reside in Chicafo- a market where a good majority of the steals are gone (my budget is ideally paying no more than 120K for a four plex).
I wanted to go to other areas of the country - Winston Salem is appealing, but I'm not sure how many problems that will create with property management. Ultimately I have no desire to be involved in anything but cutting checks and I'll happily give 6% of my Gross Revenue to a property manager.
Is buying out of state on a multi family with a fully outsourced property management approach a bad idea?
6% seems low. i thought they keep at least 8-9% if you give them multiple properties.
@Brie Schmidt is super involved in that area, so she can help u.
Property managers take about 10% of gross rents. Your issue is going to be that you will only have 1 property with the PM so you are the low man on the totem pole. I buy properties all the time from out of state investors who are failing and the #1 reason is they are not a priority to their PM.
there are opportunities in Chicago on the south side that more than fit your criteria. If you can avoid following stereotypes , hire quality PM, you can meet your investment goal !
""Ultimately I have no desire to be involved in anything but cutting checks and I'll happily give 6% of my Gross Revenue to a property manager ""
If you are only giving a PM 6% you will be doing a lot more than cutting checks.........better add...mowing lawns...painting fences...changing light bulbs...serving notices...and so on and so on.....
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