All Forum Posts by: Mark Frattini

Hi @Amanda Dantés

Nice to meet you on here. I'm a real estate agent here in San Diego and I also invest out of state. If you purchase a property here in California it will increase your debt to income ratio which lenders look at when considering you for a loan. Best option is to find a great lender, contact them and see what your options are. If you are currently renting here it might make more sense to buy something you can live in as an investment instead of paying someone else's mortgage. Look into house hacking or purchasing a duplex. Maybe a fixer or a live in flip. This would allow a smaller percent down 3.5% vs 25%, tax advantages, appreciation and you get the utility of being able to live in the property. Let me know if there any scenarios or numbers I can run for you. Good luck!

@Peter Eberhardt

Cash flow properties are great and I own a few myself. As I mentioned in your other post I have multifamily properties in Columbus. Historically southern California appreciation tends to outweigh Midwest cash-flow. On your condo which as you probably know tends to appreciate slower than a single family detached home has gained 20K a year in appreciation. That's $1,600 dollars added to your net worth each month. That doesn't include principal pay down, tax benefits or the utility of being able to live in the house. San Diego is a great place to live and invest and so is Columbus. There are many different scenarios and assumptions to buying locally vs long distance.

Look into doing another house hack or find a 2-4 unit and move into one of the units.

@Luis Barcenas

@Lee Radford

If you guys still are looking for a CPA in SoCal let me know. My CPA works with real estate professionals almost exclusively and is located in San Diego. She really knows her stuff and I highly recommend her. It's probably worth reaching out and interviewing several CPAs before deciding. 

@Peter Eberhardt

Hey Peter, welcome to BP! Local San Diego real estate agent here in San Diego with rental property in Columbus. I was lucky and found a great Columbus agent that has a rental portfolio of his own and really knows the local market. If you need any help getting a team put together out there let me know. There are still great opportunities there you just need to make sure to buy in the right area. Let me know if there is anything I can do for you.

@Brian Reiner

Welcome to BP, nice to meet you on here. Live in flips can be challenging but don't underestimate the large tax savings by using the 2 out of 5 year rule. Since you are considering multifamily what about using the same strategy to purchase a 2-4 unit and fixing up the units? Another option would be to continue with the single family approach and leverage some contractor help to speed up the process. 

@Shankar Sridhar

Hi Shankar, welcome to Bigger Pockets! Looks like you've starting doing some research which is great. Whenever possible try to invest in your local market first if it makes sense. San Diego is going to be a great long term play for real estate. I can tell you from experience, managing and operating property is possible but more challenging than investing locally.

Saving money by house hacking here should lower your living costs. This will most likely outweigh the cash-flow you would receive on a out of state property. You are also using more leverage by only having to put 3.5% down and not having to put 25% down. You would self manage here so you'd be saving another 13% on property management. The benefits to investing locally go on from here...

Happy to run the numbers with you if it would help.

Columbus!

Hi @Chris Borunda

I can give you the contact info for my CPA. She mostly works with real estate investors and knows her stuff. 

Hi @Trish DaCosta

Nice to meet you here on BP! I am a local real estate agent in San Diego and I also invest out of state. I recently closed on a triplex in Michigan and have properties Ohio as well. I'd be glad to share the details with you if interested. There is a lot that goes into choosing a city out of state to invest in. I like starting off with cities I've either been to, plan on visiting or have friends or family there. These are not requirements but just a starting point. You'll also want to research things like economic and population growth, schools, crime, unemployment etc. Good luck, let me know if there is anything I can do to help.

@Dmytro K.

HOA's have different rules and will vary from association to association. Are you wondering whether or not it can be used as a STR? Investing in downtown is just like anywhere else. The numbers need to make sense and make sure you have multiple exit strategies. Is this going to be your first investment property? Let me know if there is anything I can do for you.