High Cost Markets

[Chris George]

To the BP community! - Looking for advise !!

I live in a very high cost market (New York City). I have some money saved up but not nearly enough to purchase anything worthwhile in this market. Cheaper markets could work, but then again I do not have the local knowledge and could not actively manage these investments out of state. 

I am wondering if any other BP members have had success starting out in super high cost markets with relatively low capital? Any advise on how to find deals that provide solid cash flow? Any advise?  

[Jeannie Kenes]

Hi @Chris George,

I am a flipper in CA. I'm in a more rural part of CA so the market is not a very high cost market like you are in. But I think the basics of investing would work in any market.

In every community, there are a wealth of people who want to sell for cash and save all the fees and headaches associated with selling a home. Granted, I am pretty new at this, five houses cash buys, I find that making sure I pay the $1000 or so for great title insurance when I buy as is, safe guards me from any problems. No problems yet, knock on wood.

Finding deals takes work: walking the neighborhood, talking to people, yellow letters, calling people, driving for dollars, but they are out there and they are many.

When you find the deal, if you can't afford what they want and you are thinking is a good deal, take it to your local real estate investing group.  The one I attend has more people wanting to invest in a great deal there there are people attending who have done the hard work and found the deal.  You will find someone there who will work with you.

Hope that helps. Good Luck!