Out of State BR(STR)RR Help

[Jeremy Absher]

As a new investor (I'm a high school teacher with two boys) I'm looking for advice/help on investing out of state on my first BRRRR; however, as the title suggests instead of a traditional long term rental I'm wanting to utilize it as a short term rental on platforms like Airbnb and VRBO. I have 4+ years renting out my primary home as a STR so I know the ins and out of the STR business.

I'm looking to purchase a property under $50k with cash, renovate it, furnish it and list it on Airbnb/VRBO and then refinance to get my initial investment out and pay back whoever I borrow the initial money from (I'll probably be putting in around $10-$20k myself).

So far the two markets that interest me the most are the Valdosta, GA market (closer to home ~3.5 hours away) and the Chicago market. They both have inventory of homes below $50k, have a good market for STR as well as a good rent to value ratio for LTR as a fall back plan if something doesn't work out for the STR market.

I'm looking for a good realtor in the Valdosta and Chicago market and/or someone who has knowledge of either of those markets who can steer me away from the war zones and to the areas I should be looking. 

I'm also looking for advice on the best place to look for $40-$50k that is not a traditional bank loan since I'm only wanting to close once after the renovation when I refinance with the bank and do a cash out refinance.

Thanks in advance for any help!

[Kwadwo Banahene]

@Tato Corcoran I speak from a renters perspective, being here for the past two years. It’s a goldmine for the smart and savoy investor. There’s a huge base and major college in this area. Plus it’s one of the biggest cities in the south ga area with industries slowing coming here little by little. It sits right on a major interstate and it’s only a few hours drive to 3 major cities in Florida as well as Atlanta. It’s the perfect city for those who like the quiet small town life with access to a city within max 4 hours. What makes it exceptional for the rental market is the low prices. There is a lot of residential development going on as more and more people move here to raise their families. There is a demand, but like any market I highly employ you to do a lot of research and see if it fits your strategy.