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Updated over 1 year ago on . Most recent reply
![Adam Eckhoff's profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/social_user/user_avatar/1797199/1690812387-avatar-adame100.jpg?twic=v1/output=image/crop=1335x1335@1340x204/cover=128x128&v=2)
Purchasing Your First Out-of-State "Turnkey" Rental Property
Good Morning,
My name is Adam Eckhoff, commercial appraiser in New Jersey. Quick question for you all... Let's say I search for a $200,000, 2-unit duplex, on Realtor.com located in let's say Columbus, Ohio. Hypothetically speaking, let's assume the duplex generates $500 per month in income (after expenses, management, etc..).
Why would I not just pull the trigger and purchase the property, assuming I can find a management team to take care of it.
How would i get money back out to purchase another property (how could i leverage it). Do i just save the $500 a month and use that to purchase another one down the road (assuming i living in a perfect world with no repairs/reserves/ cap exp..)
Thanks,
Adam.
Most Popular Reply
![Michael Dumler's profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/social_user/user_avatar/1711746/1621515321-avatar-michaeldumler.jpg?twic=v1/output=image/crop=735x735@7x299/cover=128x128&v=2)
@Adam Eckhoff, I know this is a hypothetical scenario, however, this deal doesn't exist unless it's located in a D-class war zone. If you acquire the property at market value, you can't pull any of your money out because the deal only has X% equity. Only buying well below market value or implementing the BRRRR strategy allows you to recoup your capital.