Where to buy when local market is overpriced?

[Stacy Schwan]

I keep reading that it is wise for a first-time investor to purchase small properties close to home. I live in a San Francisco Bay Area suburb, where properties are expensive, in a state that is not landlord friendly. How would I get started under these conditions? Any insights are appreciated.

[Ryan Landis]

@Stacy Schwan a lot of those recommendations are for reasons that make sense for most buyers (i.e. they likely understand the market they live in, they may be self managing*, etc.). Almost everyone you speak to on BP will say that investing in areas you are familiar with is the best - how comfortable you feel/familiar you are with an area can be learned too, it just takes a effort.

What type of investor are you trying to be (i.e. completely passive, active, etc.)? Knowing that will help people when they give you some feedback.

*Make sure you always evaluate the properties as if you are guying to use property management.