Out of state investing

[Dov Klitnick]

Is it a bad idea to start off with buying a house out of state for a new investor if that's all I have enough money for ?or should I just wait till I have enough to invest in my state even if it takes me a few years to save up to buy my first property.

[Zach Lemaster]

@Dov Klitnick

The most successful investors invest in the markets where they can get the best returns, and should be diversified across multiple markets.  Regardless of where you invest it is essential that you have the right team to assist you in building a successful portfolio.  It doesn't really matter if you start locally, or not.  The main point is that you get started.  If your local market is so expensive that it will take you years to save up for a downpayment then I would highly encourage you to look at a market you can invest in sooner.  If it takes you multiple years to save up money to invest those are valuable years lost of cash flow, tax benefits/depreciation, appreciation & debt reduction by the tenant paying the loan down.  It's also years lost of education, which is the most valuable resource to help you be successful long term.  If you truly want to invest locally, but don't have the capital to then use real estate investing out of state to help you build equity over time & save up your cash flow to invest locally.  Just my two cents on the matter.  We look forward to connecting with you!

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