Invest in out of state turnkey or local multi-family?

[Jessica Mills]

I am incredibly new to investing and still in the research phase.

Scenario 1: Out of state turn key for 100k, after rehab should be about 150k, rent about 1300. Bank will want 25% + closing costs + reserves. How do I get the 25% (please don't say friends and family)

Scenario 2: 300K-360K duplex (hardly any quadplexes in my area of California) funded by VA loan. No money down but 3x the loan amount.

Any tips or suggestions would be greatly appreciated. Like I said I am very new to this and am researching a lot of the QnA's from the forums here and other podcasts. 

[Ali Boone]

Well, three things....

1. A turnkey doesn't need a rehab.
2. If it's an SFR, you'll only need 20% down.
3. Answer your question by running the numbers on both scenarios. Which one leaves you with more cash in your pocket?

Out of curiosity...where would the profit on the duplex come from? That's a heck of a loan. What part of CA can you get a duplex for 300-360K?