LONG DISTANCE INVESTORS, have a ridiculous amount of questions.

[Scott Slocum]

Ok, here I go. I am looking at a long distance investing maybe brrr. No, I haven't got the new book yet. It is next on my list.  I found a some property I am considering making offers on. I live in California the properties are in Tennessee and Alabama.  I'd prefer to not have to rehab my first deal though. I want to pay cash first then cash out equity and by more. I have never bought a home.  First question,  are there any other cost associated with buying all cash. Second,  who could I get to go and  check them out for me ( property managers, realtors or someone else)? For you long distance investors , who do you use? What are your steps? Check list? Please give me some insight.  TIA.

[James Wise]

Originally posted by @Scott Slocum:

Ok, here I go. I am looking at a long distance investing maybe brrr. No, I haven't got the new book yet. It is next on my list.  I found a some property I am considering making offers on. I live in California the properties are in Tennessee and Alabama.  I'd prefer to not have to rehab my first deal though. I want to pay cash first then cash out equity and by more. I have never bought a home.  First question,  are there any other cost associated with buying all cash. Second,  who could I get to go and  check them out for me ( property managers, realtors or someone else)? For you long distance investors , who do you use? What are your steps? Check list? Please give me some insight.  TIA.

 First things first; Epic beard dude, well done. As for you buying out of state follow this punch list & you should do fine.

• Don't buy in the roughest neighborhood in the urban core. Pick a solid B-Class suburban area. Perhaps a nice 1950's built bungalow.
• Always hire a 3rd party property inspector to give you an unbiased feel for the home. The reports are 40-90 pages long and go through the entire house in great detail.
• Get an appraisal. If your using financing the bank requires this. This is good. The bank isn't going to let you blow their money. They have more skin in the game then you do.
• Make sure you get clear title. If using a lender this is a non issue. They will make you do this. It's those maniacs that buy homes cash via quit claim deed off of craigslist that really get screwed.
• Make sure your property manager is a licensed real estate brokerage.
• Understand you can not eliminate all risk, only mitigate it. If you are risk adverse real estate, (especially out of state) is not for you.