All Forum Posts by: Nikhil Bhat

I guess it matters how well you know the area. If you dont know it at all you need someone on your team that does, especially around here. It’s vital. Then I would start in Zillow/Redfin/etc to select multifamily and choose whatever price point youd like. For example you choose $200k max price youll see most of ‘center’ city has nothing at all to offer until your far north/south/west and the places that do will be C/D most likely if it doesnt need more than the $10k rehab you were looking for.

Then start ramping that price up until you hit current deals or recent sold MFHs in areas that are A/B. Thats a quick way to tell what your budget should be. That being said covid makes it a little tough but youll be in the ball park. 

Id be really really careful about a multifamily for $120k that only needs $10k rehab in and around Philadelphia. Youll absolutely be in a C/D neighborhood and would be the opposite of what Id tell an out of state investor to start with in Philly.

@Nikhil Bhat you have to build your network and earn their trust by actually buying a good deal when they bring one to you.

On the otherhand, many wholesalers will see you as a new "victim" and try to sell you their overpriced crap.

So, you need to put time into learning the market to figure out who you can trust and who to avoid.

@Nikhil Bhat I work with a lot of out of state investors in the Philadelphia region, would be more than happy to point you in the right direction. 

Not trying to be mean but why would any agent give you off market deals on $120k class A/B buildings LOL they would just buy themselves (any good agent can buy $100-120k cash themselves even) or send them off to a repeat buyer. You need build relationships first which means closing deals on the market with agents, showing you are a solid buyer first. I am an agent and sell a lot of deals pre/off market but they definitely are not being sent to first time buyers. 

@Nikhil Bhat

You won't have the same intimate, day-to-day knowledge of a distant market that you have of the market in which you live. You don't have an in-depth understanding of the best neighborhoods—or the worst. You will have to rely on research, word of mouth, gut instinct and the opinions of any professionals you hire.

Understanding the laws and regulations regarding property ownership and property taxes in your target area is another challenge. Even if you read every line of the local codes and ordinances, what it says on paper and what happens in the real world don't always match. Talk with property owners in the area to get a true understanding of local challenges.

Networking Out-of-State
You'll need good contacts in the area to make your investment plan successful. That doesn't only mean a real estate agent. You may need a property manager, a maintenance worker, and a contractor before long.

The secret to many out-of-state investors' success is finding and hiring an excellent property management company. It will be their job to fill vacancies, collect rent, make repairs and handle emergencies.

If you lived in the area, you might choose to manage the property yourself. If you live far away, professional property management is an extra expense you simply must incur to safeguard your investment.

Experienced builder and property manager Rusty Meador notes, "No matter how good of a real estate deal you find, it is only as good as its ability to be managed well."

All the best!

Lol I would also add to be careful WHERE you invest....

You could find something great for 120 (but may be in the middle of warzone)

If you are in VA may be worth your time to do some research, find some AREAs that fit your criteria and drive around. Then you can make an informed decision. In Philly there are general realtors (city wide) but certainly some that have neighborhoods of special interest.

Hi if you are cash you do not need a realtor that is not where the deals are . I have done 100s and 100s and 100s in my market never using a realtor

Good luck 

go to the local RE forums, plenty of deals there