Best city to get started for new investors?

Question

Hi all,

My fiancee and I are planning to move next year and start our real estate investing journey. We are currently living in Illinois and we know this is not where we want to start. We have stay at home jobs and are not tied down whatsoever to any specific location. Our plan is to get a multifamily property with a FHA loan, and move onto the BRRRR method. We don't want to start in any super expensive places, but want to be in an area that has a lot of future growth potential.

We would appreciate any thoughts on this, thanks!

Will Fraser · Answer

Hi @Aaron Butler, welcome to the BiggerPockets forums!

If you literally have no preference and are only looking through this lens then I would say a resounding:  Puerto Rico.

Tax benefits thrown at you, island life, massive opportunities for adding value, access to US Gov'ment financing, rainforest and beach.

Otherwise I might say . . . rural Northwest Arkansas would be a pleasant spot.

Aaron Butler · Answer

@Will Fraser. Thanks for the input! Funny you say Puerto Rico as I had just watched a YouTube video about the benefits before seeing your response! Quite a leap, but definitely something to look into. I've been to Branson, MO many times in my life, so it's great to hear about NW Arkansas not being far away. I'll be checking it out! Thanks again

Michael Ward · Answer

Second for Northwest Arkansas! I am biased though, obviously ;)

Rick Dreyer · Answer

I hate to recommend more people come to the area, meaning more competition, but Northwest Arkansas is a great spot. Affordable housing prices, with relatively high rent prices. Low vacancy rates, and multiple fortune 500 companies in the area, always working to improve the area

Adrian Chu · Answer

Welcome to BP. For FHA loan, you would need to owner occupy at least 1 of the units.  Since you will be living there, you would want to consider not only from an investment perspective, but somewhere you would actually enjoy living in with your fiancee.  Happy investing!

Aaron Butler · Answer

@Michael Ward Thanks for input as well! My fiancee and I are in no rush to find our place to be, so after we get married I'll get in contact with you if we will be in the area to learn more about NW Arkansas!

Best city to get started for new investors?

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