starting out buy and hold- better to buy local or long distance where cash flow is better

[Shawn Beers]

Hi All- My name is Shawn

I am getting started. I am at the point of needing to choose the market I will invest in. My goal is to buy and hold duplexes and 4-plexes for cash flow. I live in Walla Walla WA. I know several people recommend doing your first deal locally- but the northwest is more expensive then places like Texas or Georgia. I feel that I could do a better job of researching and buying a multi family property in the northwest since I can physically be in and evaluate neighborhoods that I would consider buying in. However I don't think I could research as well or make as educated of a decision buying a first property as far away as Texas or Georgia -due to logistics of working a full time job with little vacation time to get away and learn markets in far away states. So the dilemma is buy in the northwest where I may know a market better but have a harder time with positive ash flow or assume more risk buying in markets that I cant know as well but that in general have better cash flow. I realize there are tons of resources out there- but as a beginner learning the game, its hard to top being able to physically spend time in the area and be able to physically go and see properties before putting offers in. Would like to hear peoples thoughts on this. Thx

[Gerald K.]

@Shawn Beers

First of all, welcome to BP. I'm over in Kirkland. If you haven't done so, check out the "Learn" tab up top. Lots of great resources.

As for investing locally or out of state - you will hear all different opinions on that. Search the forums about turn key or investing out of state. This is a very hot topic on BP that has been discussed a lot.

You might want to look for a local REIA to see what other investors are doing in your area. Getting some local experience first, even if the deal isn't as good as out of state, might not be a bad idea. You could gain some valuable knowledge and experience. You don't know what you don't know until you've experienced it first hand. It doesn't have to be the only thing you do, but it might be the best thing to do in the beginning.

I'm sure others will chime in with advice, but you seem to understand some of the pros and cons. See you around the forums.