Selecting a Location to Start with Rehab Rentals

[Dan M.]

Quick background. I am currently serving as an Officer in the Navy. My commitment is up in a year. My next job will be working out of the Gulf of Mexico work one month than having the next month off. I will be making a pretty good pay check and I want to turn that money into a real estate income future. My initial goal is start small with rehab properties. I am very mechanical and can pretty much build my own house, so rehabs will be fun. Currently I am taking my time studying and reading blogs and book. This is a great site. I am grew up in Pittsburgh PA and it is almost an ideal location. But I looking at other locations on the east coast. Mainly South FL, Jacksonville FL, Charleston SC. Being in the Navy, I kind of want to be by the water haha. Anyway I was hoping to get some good insight. Thanks

[Brandon Turner]

Hey Dan. I'm glad to see you getting ready to jump in to real estate. Also, I think it's great that you are spending time right now learning via books and blogs. Very smart. You also might want to consider connecting with a seasoned investor in whatever area you end up choosing, and learn the ropes first hand before spending your own money.

As for where to invest, I think there are good and bad area anywhere you choose. Obviously, some might be better than others but as long as you stick by principles (positive cashflow only, estimate conservatively on repair costs, etc) you can do well anywhere you live.

Real estate is a math game, so just get good at the simple math, live where you want, and invest where it makes sense.

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