Where to Invest in 2017 - Looking for Geographic Diversification

[Todd Miller]

Hello. I am new to BP and an expat in Hong Kong preparing to transition from a corporate gig. I currently own four SFRs in Ontario, CA and am an investor in three LP real estates focusing on large scale multifamily properties across the US; these funds have a +/- 10 year horizon. This real estate portfolio already generates good cash flow and my strategy with the SFR's is to buy and hold. I have been accumulating the four SFR's in California since 2012 and they have already appreciated nicely in value.

Here's my question:  I am looking to invest an additional $500-$600k in another cluster of SFRs (2 - 4 homes, depending upon the price points) and I am looking for geographic diversification outside of California that will yield cash flow, and appreciate over a 5-10 year horizon.  Since I am an expat, I am truly geographically flexible.  

I appreciate this forum's suggestions on promising markets underpinned by a strong economic/demographic/tax foundation.   While Texas would naturally be a market to focus on, all my research suggests that it's a very hot market at the moment and I shy away from entering overheated markets.

I welcome your suggestions.  

Thank you,

Todd