Expensive Markets: How to Get In Without Going Broke??!

[Serena Appiah]

Hi, I'm a newbie here! Hubby and I own our current single family home in Silver Spring, MD which is part of the Washington DC Metro area. We also own a townhouse rental for 15 years in Hagerstown, MD, which is my original hometown 1.5 hours away where my mom still lives. 

I'm a little discouraged with trying to find affordable properties here in Montgomery County and surrounding areas. I've considered venturing into Baltimore County. But I was hoping to find a property that is no more than 30 minutes away from my home because here is my strategy:

Buy a fixer upper that I can take my time in fixing up while using the content for my do-it-yourself YouTube channel. Once fixed up and "staged" it will be like office space for me to use for when I need to film content or work on projects. Therefore, it has to be close to home, somewhere I can pop in and out of when I need to film projects.

But the closer I am to home, the more expensive (like $350K to $450K). I've got about $75K available to put down. But even with that amount, I feel I am priced out of this market and it may require me to go further out, which means commuting long distances multiple days per week when I need to do work at the property.

What's the solution here in an expensive market? Pay more (larger mortgage) for proximity, or commute longer distances (smaller mortgage)?

Thanks!

Serena

[Alan C.]

I'm not 100% clear, but it sounds to me like you are planning to keep the new property vacant so you can "pop in and out."

Is this new property going to be an occupied rental or kept as a soundstage for filming your YouTube videos?

How does buying this new property generate a return on your cash?

Please be more specific about your plans for the property.

No matter what your plans are, you are not likely to find anything in the DC metro area in your price range. I know lots of people who live in your area, but invest in Baltimore where their money buys more property. They do commute several days per week to oversee rehabs or look for/check in on rentals. But they generally get much higher return on their investments so it is worth the drive.