First rental property: Philadelphia (remote landlord) vs. California

[Sophie Mia]

I currently live in Philadelphia and am looking to buy my first rental property. There are some good deals in this area and the suburbs (easy driving distance). I could get a duplex/triplex for around $100k.

However, my plan is to move to California (San Francisco/Bay Area) sometime this summer/fall for work. So I would only be in the Philadelphia area for another 6-8 months.

I've been reading a lot of posts/advice about how you should invest in real estate once you're settled somewhere and able to handle the properties in close proximity. However, I am well aware of the prices in the Bay area. While I may pay $100k for a duplex in Philly, I can easily pay more than $1MM for a similar property in San Francisco. The rent prices definitely do NOT make up for that price difference. I also do not really have enough money saved up for a 20% down payment on a $1MM house....

Has anyone been in a similar situation? What would you advise me to do? Should I wait until I get to California to invest? Do you think it is doable to invest in Philly, find a good property as well as tenants while I still live here, and then maybe get a Property Manager when I move away? What are your thoughts?

[Jeremy Dyer]

@Sophie Mia It can be a challenge to have rentals in areas that you do not live in but many people do it with good property management companies. I think you should talk to some local investors in your area and find a good property management referral so that when you buy your duplex/rental in Philly and not have to worry. Being that your funds are limited right now it may be a good place to buy in Philly rather that in California. Hope this helps.