So, we started exploring the REI world.

I wanted to share a recent deal structure that may be helpful for anyone sitting on equity in a high-cost market.A client recently:Did a cash-out refinance on a California primary residenceUsed the proceeds to purchase a single-family rental in MichiganIs closing in early FebruaryWhat made this work smoothly:No relocation requiredProperty manager is picking up keys immediately after closingClient transitions straight into passive monthly incomeNo short-term rental or active management involvedThis wasn’t about chasing appreciation—it was about:Redeploying trapped equityImproving cash flowKeeping the setup simple and scalableI’m seeing more CA homeowners explore Midwest rentals when local numbers no longer make sense, especially when paired with professional management from day one.Happy to answer questions around:Structuring equity deploymentOut-of-state investing considerationsWhat to look for (and avoid) in Midwest rentalsHope this helps someone thinking through similar options.

I'm exploring creative financing methods for my down payment.

But if you’re only driving occasionally or testing the strategy, a low-cost setup (Google Maps pins + notes + county records) may make more sense.A really helpful way to explore the different options out there are by watching YouTubers who actually drive for dollars.

By the way, STR opens the door to huge tax benefits since the new tax legislation passed, so if you're a high-income W2 worker, you might explore that as well before settling on MTR exclusively. 

I don't do a ton of furnished units so have not explored Habitat in terms of furniture. 

.- You may want to explore whether this underwrites better as a specialty-use / flex / service-office asset rather than “office” in the lender’s eyes.

I think your top priority right now should be settling on a market that you'd like to relocate to if you plan to house-hack, from there I'd start talking to lenders and exploring loan products to see who can offer you the most competitive terms.

I’d interview multiple property managers before buying, ask about vacancy rates, rent collection processes, maintenance reserves, and communication systems.If you’re open to exploring beyond Indiana and Ohio, Memphis is another market many out-of-state investors consider.

Local REIAs are good source for you to explore those connections too.Below are the books I recommend.