All Forum Posts by: Moe Sidd

@William Breymann

From my experience, the people in the market matter a lot more than the city itself — your tenants, contractors, realtors, and property managers will make or break your success. Focus on building a solid team first, then dive into neighborhoods and numbers once you’ve got reliable boots on the ground.

If you ever want to chat about how that plays out in different markets like Toledo, Detroit, or Dallas, happy to share what’s worked for me and my investors and what to look out for.

Totally get what you mean. Every time i'm vacationing i'm just thinking should I just move/buy there. Let us know how it goes if you choose a spot!

@Amy Karony, I ran the numbers myself looking into STRs in Cancun, Playa Del Carmen, Tulum, etc. and found I could get better cash flow returns in the Midwest long-term SFH investments. In Mexico, there are luxury properties that you'd want to target, with high vacancy, and the property managers will eat most of your profits. Not to mention how much easier it would be to manage a LTR vs STR property manager.

Happy to chat more about various out-of-state investing strategies that have worked very well for me over the years! 

@Allen Zhu, 

I’ve learned a lot over the years from both successes and mistakes with out-of-state investing. It definitely comes with challenges, but with the right team and systems in place, it can work really well. It really boils down to where you can find the best people (and numbers) to work with. The location you choose should have a solid tenant base, reputable realtors, experienced property managers, and reliable contractors. This can make or break your investment, so please dont look at numbers alone.

Happy to share specifics if you’re interested in markets like Toledo, Detroit, or Dallas, those are areas I’ve had solid experience in and can break down what’s worked (and what hasn’t).

@Jakub R., I started with SFH and still exclusively deal with SFH. Often, the numbers are better in SFH deals than in Multi-Family. For example, I often see duplexes listed for more than 2 SFH would cost combined! But this may be just in the markets I deal with, so your mileage may vary based on which states/cities you're looking into? I have heard many apartment complex owners liquidate and go all in SFH because the numbers were better. Many people get caught up in the notion that more is better when it comes to multi-family housing, as it sounds so appealing.

Looking back, I think I'd do it the same way, especially starting out. Even with several years under my belt, I feel multi-family can make things more complicated, and I like keeping things simple and less risky. Having your wealth spread across multiple properties is a form of diversification. My suggestion is doing what's less popular might actually win the race over time, so don't fall into the hype.

Hi @Jeanette Land, it could be a great opportunity if they are already managing the property, given that they already know the ins and outs, and it would be a seamless transition for everyone involved. Often, their investors may be selling or downsizing their portfolios, so they help facilitate the sale. I'd still conduct the same due diligence that you would when buying any property on the market.

I usually just use Zillow or Apartments.com, keeping in mind there are a lot of landlords who put higher prices out there for rentals, so I would use those numbers conservatively.

@Mark Bennett totally agree! It's almost like they wanna scam us as soon as they find out we are out-of-state. It's definitely a people business and while there will be many bad apples out there my goal is to find the few good ones and work with them exclusively!

@Marco Solis, what do you think this property would rent for given the market rents currently?

Welcome back! With your experience, you’re in a great spot to take real estate full-time. If you want income you can manage from anywhere, look at turnkey rentals in strong Midwest markets, ones that are already renovated, rented, and managed. It’s an easy way to start building cash flow while scaling without getting stuck in day-to-day management.

Happy to share some examples or run through how out-of-state investing works for me and my investors if you’re interested.