Investing out of state in Michigan

Investing out of state in Michigan

Hermosa Beach, CA · Member since 2015 · 6 posts · 3 votes
Hi Bp community, I recently graduated college and have been working in SoCal that gives me steady income. As much as I want to implement the brrrr strategy out here, the price tag on homes out here are too expensive and out of my reach. It will take me quite some time to save up to put a down payment. My father and might be temporarily(<5years) moving to the metro Detroit area from Japan for work. Thus I was thinking about putting a down payment on a duplex or single family home and renting it out to him and someone else. Royal oak/Detroit area is definitely less expensive than socal so I would be able to make a down payment. I can trust the tenant because it will be an immediate family. If I go with a duplex I feel like that my father could be my business partner/property manager and look after the other unit. Do you think this will be a good opportunity to begin investing in real estate and becoming a land lord? Please let me know if there are creative ways I could finance the project in my situation. Thanks,
0Reply
29 views

2 Replies

Jump to latestLatest
  • Investor · Jenison, MI · Member since 2016 · 158 posts · 79 votes
    9y

    perfect! if your father is someone who can put up with your other tenants and not cause controversy within the family :)  

  • Rochester, MI · Member since 2015 · 10 posts · 0 votes
    9y

    Great Idea Riku,

     Be sure to do your research on the Detroit metro area. If you find a decent house in a decent neighborhood that cash flows well, this could be a good start.
    As far as financing, could your father do owner occupied financing? If this is your first time, I'd consider sticking with a conventional investment loan just to be safe. Maybe your father could help you out with the down payment.

    Let me know if you need some help looking at some numbers around the Detroit Metro. I'm always looking at different areas around town.

Join the conversationCreate a free account to reply, vote on answers and follow this thread.