buying properties in multiple states

[Federico Dayan]

hi, I'm new to BiggerPockets and I'm starting my real estate investing journey. I'm based on Miami and the market it's super hight for buying properties, it's okay to look into other states to buy property or should I stick to my town to the properties that I will own? (so it's easy to manage ) thanks!

[Alberto Nikodimov]

Hey @Federico Dayan, I was facing the same dilemma when I was living in Miami and I decided to buy in another state first. If the choice is buy a profitable investment in another state without having much control or not buy at all, then it's an easy choice. In my case I was familiar with the other market as well and I was also willing to travel there few times a year. There were also few other factors which helped my decision. 

At the end of the day it comes down to your personal situation. Having a great circle of advisors always helps! surround yourself with people in real estate and also other successful people, share your plans and get their opinion.

You also need to ask yourself: What is the best use of my money (opportunity cost)?

It's not very easy to get great returns in Real Estate in the current market unless you have a great team around you. Ask yourself what are your benefits and risks of investing in RE right now and compare to other investments.

Just to be clear, I'm not saying you shouldn't invest in Real Estate. I'm just sharing what I think is the correct way of thinking about any investment which I learned from seasoned investors.

I hope this helps!