Long Distance Real Estate - First Property

[Sara Bollinger]

Hi!

Any advice on long distance real estate investing for newbie? Currently, I do not live in the United States as I'm working overseas. I really want to get into long distance real estate investing, buying & holding properties for long term rent. I have about 35k saved for this effort right now, will definitely be more in the upcoming months. 

Is 35k enough to get started? What would be a more realistic number? Anything to keep in mind if I am investing very long distance?

Any advice appreciated,

Sara B

[Mark Ermence]

Hi @Sara Bollinger

I agree with many of the comments here and congrats on having enough to finance your first investment property. Using leverage you can probably get a lot for your money depending on the areas you consider. Just an idea for consideration... are you planning on coming back to the US in the future? If you have an area in mind that you are likely to settle perhaps you consider buying your first investment property there, then when you move back to the US you can move into the house, live in it for two years and then you'd be eligible to sell the property and forgo any capital gains taxes should you want to sell. Then you can either buy more investment properties with the proceeds or go do it again in a bigger house. :-) You must have lived in the home for a minimum of two out of the last five years immediately preceding the date of the sale. Unmarried individuals can exclude up to $250,000 in profit from the sale of their main home or $500,000 if you're married. I know people that have done this over and over again and have done well for themselves. I've been suggesting this for my college-aged kids.