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Updated almost 5 years ago on . Most recent reply

User Stats

114
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Adam Blachnio
  • Rental Property Investor
  • North East US
31
Votes |
114
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Why Most Of Investors Invest Only In Local Market?

Adam Blachnio
  • Rental Property Investor
  • North East US
Posted

I found that investors are focused on their local market because "they know it" even if return rates are much, much lower than in other areas...

If they decided to be REI, so assuming they want as high return as possible...

So why they not to jump on more profitable market?

Most Popular Reply

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17,425
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30,066
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Russell Brazil
  • Real Estate Agent
  • Washington, D.C.
30,066
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17,425
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Russell Brazil
  • Real Estate Agent
  • Washington, D.C.
ModeratorReplied

As high of a return as possible is an illusion. Chasing yield is a recipe for disaster.

Investing out of your area, in locations you are not as familiar with by definition increases your risk. Couple that increased risk, with chasing yield, chasing higher risk, and its often going to be a recipe for disaster.

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