Have 25k for downpayment on out of state rental properties.

[Adekunle Betts]

Hello everyone, I live in the Oakland CA and am looking to get into buying and holding rental properties probably outside of California for a passive cash flow. I am obviously not looking to make any serious gains on my first rental (a few hundreds in positive cash flow would be nice) I really just want to get my feet wet and get a understanding of different markets and good deals. I've look at properties in Ohio, Dallas and Vegas so far. I am looking for any knowledge tips for my goal. Thank you.

[Ali Boone]

Hey Adekunle. I'm down in LA and started out, and am still doing, exactly what you are talking about. It can be a great way to get your feet wet and with less capital to start than anywhere in CA. 

Ohio, it depends on what city specifically. Dallas used to be great but prices there now are higher than before the recession and cash flow has gone more minimal and with a lack of inventory. Vegas has some fundamental issues that make it not a market I've ever wanted to focus on, but even those aside, prices there have already skyrocketed too. 

There are several markets out there. A lot of it will depend on your preferences....price range, SFR or MFR, urban or suburban, etc.

Happy to chat markets anytime if you want to reach out!