Rural vs Metro what’s the experience?

[Adam Hughes]

Hello,

While my description says I’m from St. Louis in all reality I live 20 minutes from downtown on the Illinois side of he river. I’ve grown up here and know this side of the river very well. The book I just started reading “Crushing It” made a point about home field advantage. I live in a town of about 10k and am surrounded by towns of 1k-30k.

In addition it seems that the old guards of multi family are starting to shift and I’ve watched new buyers enter the market. That said there are quite a few deals right now in these communities that are offering conservative returns. That said I’m yet to make an offer and this purchase will be my first multi family unit and only second unit in total. I’m considering buying between 1-3 duplex to 4plex.

My question, am I selling myself short by not looking in St Louis city or is the home field advantage a good strategy starting out?

Thanks

[Rick Gibson]

Adam---5 years ago I wondered the same thing.  I am an IL resident with experience on both sides of the river with rehabs and buys and holds and owning mobile home parks on both sides of the river.  My recommendation would be to get a few deals under your belt in your backyard then venture to the St Louis side when the great deals come along.  There is much less competition on the IL side.  Go to one of the larger real estate investment clubs on the MO side and watch people perk up when they hear you invest in IL properties.  Most wholesalers don't know what to do with their IL properties because they don't know the towns like you know yours.  Without a doubt use your home field advantage while you are starting out.  Good luck.