All Forum Posts by: Alex Olson

Hi there, I am new to REI and have not yet bought any properties. I live in the San Francisco Bay Area where RE prices are INSANE. While I want to nothing more than to buy a home for my family, we just can't come to grips with buying a $2M home for what we want; - it would end up tying up so much (nearly all) of our capital.

Instead, I am getting more and more excited about REI and plan to buy my first couple properties out of state. My question is how have others picked their first locations? With so many potential markets, it's daunting to start and imagine just throwing a dart at the map to look up various areas.

I know I want: <= $175k first home and likely plan to buy and hold for some passive income on a long-term rental (probably BRRRR method). I do know how to do the research on finding properties, comparing them, understanding the rental market - but there just seem to be so many options!

Advice or pointers appreciated. 

@Michelle Barlow I myself am also considering Belton, MO as an area for my next investment. Have you moved forward at all since the post? 

I am looking to network with PMs, contractors, and other investors in the 50-150 unit size apartment complexes in Memphis, TN.

Specifically I am looking in Shelby County south Memphis near the airport.

Happy to chat on my projects in KC and Hi.

Nate

 Yeah, it depends. In my experience, you will need to remove the current tenant and get a fresh one in.

I have raised people a lot, but it rarely turns out well. I have a small sample size but I would say 25% of people leave, 50% of people take the rent hike but you wish you had removed them, and only 25% stay and make good tenants.

Investment Info:

Small multi-family (2-4 units) hard money loan investment in Kansas City.

Purchase price: $102,000
Cash invested: $64,000

Contributors:
Robert Musallam

Acquisition and Exit Strategy: BRRRR. Financing: Hard Money. Business Plan: Complete repositioning of historic duplex in gentrifying submarket in KCMO.

What made you interested in investing in this type of deal?

The proximity of the property to a transitioning submarket was our initial interest. Upon further due diligence we discovered a lot of investment activity in this particular neighborhood.

How did you find this deal and how did you negotiate it?

Local broker who invest himself in the submarket in question.

How did you finance this deal?

Hard money loan

How did you add value to the deal?

Complete rehabilitation of both units. Big capital overhaul, upgrading HVAC, water heaters, electrical, roof, etc.. New kitchens, bathrooms, bedrooms and flooring. New external / internal paint. New fixtures. Modern amenities.

What’s up all! I hope this post finds you all well and in good health! My name is Sean Michael and I’m a newbie, like really newbie. Im really interested in beginning my RE investment journey and living in CA it’s much more of a challenge out here, and I’m determined not to let a costly state to stop me. 
I do understand that investing out of state has its obstacles however it’s the way I’m going to get my foot in the door. 
Can anyone recommend what cities/states I should be looking into?

And if there is anyone who has experience investing out of state I would really appreciate any tips and advice that you would be willing to share!

Thank you all so much I really appreciate your insights and look forward to reading your responses.

Sean Michael

I just relocated to KC from Tulsa. I am new to the wholesale game and am looking to do some networking. Primarily, looking for Investor-friendly title companies(KC & MO.) Any info anyone could provide would be much appreciated!