Trying to Invest in Las Vegas.. Roadblocked my Future Father in Law

[Brandon Duff]

Hello, 

My future father in law bought a property in 93 which is an 8-plex in LA for around 300,000

He owns his own home currently ( beautiful home)

and owns a rental also ( I don't know when he purchased this)

He also has a real estate license ( he isn't an active realtor, he is retired and just invest in stocks now)

He believe california for the place to purchase property because you can see and feel it.

I am trying to convince him that just because its out of state, doesn't mean it can't be successful.

He says that unemployment is higher than anywhere else in the USA

California and Nevada are both around 6.7-7.1% 

He says thats because obviously the population is much higher in california so its not comparison 

He believe with the indian reservations in california, it will turn vegas the unpopular place to gamble and all of the las vegas community is fueled by gambling and entertainment. 

If we go into a recession then obviously people will move from there just like what happen with the last recession.

Are their business big businesses moving to Nevada to help fix this issue?

I know Tesla is moving here, but northern nevada, will that help Las Vegas with growth potential.

He mentioned that most investors are going to Texas, which I know many of my clients invest there..but that kinda goes against his argument with seeing and feeling. I can easily make a trip to vega.... Texas not so much.

He also mentioned that with all the building out in vegas it will make homes like the one I'm interested in become  "The Ghetto"

How is sunrise manor near el dorado park? 

Is it the Ghetto?

Would it be considered A.B,C ? or even D? Class

Is there anything I have to fight my case or is this a lost cause?

Any Articles that can help me? Ive linked him a few but he says they are bias because they are Nevada written. 

[David Schach]

I am in a similar boat, not with a father in law though. Most CA people are telling me to stay local, RE wealth is made on appreciation, not on cash flow and forget about LV, too much boom and bust. But there are some very compelling arguments in favor of LV. low taxes, favorable landlord/tenant laws, better price to rent ratios. What it seems to come down to for me, is predicting the future....

1- if you choose CA over LV, will prices continue to rise enough to buy now and sell down the road to eventually have enough cash/capital to lower or eliminate your mortgage so that wayyyyy down the road you can retire and live off rents. Because unless you are coming to the table with over $1MIL in cash, nothing will cash flow well in A, B class properties. You can find C, D class and play in that market with a lot less money

2- if you choose LV over CA, will rents be stable enough in the long run that you can keep having that renter pay down your note and also put some money in your pocket. LV is a cash flow play today vs appreciation. I think...

message me and i will send you some links that a local LV real estate broker/investor sent me. And sunrise manor is C class for sure. rents are $400-500 for 1beds.