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.....
Hop over the border to Indiana. Theres some pretttyyyy good stuff out there. Chicago's best kept secret- everyone who lives in Chi hates Indiana lol.
Create Lasting Wealth Through Real Estate
Join the millions of people achieving financial freedom through the power of real estate investing