Finding it difficult to choose the right market location to begin

[Sean Abrams]

Hi,

I am a newbie and trying to find my way through the RE investing forest.  I am having difficulty narrowing down an area to focus on, whether to invest in my home state or go out-of-state etc..  I know I want to focus on buy & hold strategy to build cash flow. I am looking to build strong partnerships along the way. I reside in Northern NJ and I am open to areas with good potential. If I can get some direction I would appreciate it. Thanks.

[Eric Black]

Hi Sean,

There are a number of markets that are performing well right now but you also have to look long-term. If you're focusing on cash flow you might want to consider markets such as Atlanta, Indianapolis, San Antonio or Little Rock. These markets, with maybe the exception of Atlanta, do not typically have large market/appreciation swings. But they typically have stable cash flow.

Just be sure to get very familiar with whichever market(s) you decide to get into. As with many cities, things can vary greatly from neighborhood to neighborhood and even street to street.

Best of luck!

Eric