Investment Property near Seattle area under $800k

[Ken Chen]

Hello all! 

I recently moved to Lake Forest Park from SF Bay Area. I am looking to purchase an investment property under $800k. I am a layman and I am unfamiliar with the rental market around Seattle. 

1. Which area should I be looking at?

2. Which yields the most return-- single residential home or multi units?

3. Is it worth it to hire a management company? 

Thank you,

Ken

[Steve Anderes]

Welcome to the Evergreen State Ken!

Lots of great opportunities in the greater Seattle Area in the price point you are looking at. I think it will be important for you to have a bit of a lengthy conversation with someone that can dial your questions in better and guide you in the path of making some money on your investment, not just selling you on the investment. I would be happy to talk with you and help you identify better parameters for your search, but here are some brief answers to your 3 questions. 

1. Which area should I be looking? If you are going to do some of the improvements, upgrades and management, the closer to you the better. I look for areas that will be improving - think new light rail or urban villages nearby for an example.

2. Which yields the most return-- single residential home or multi units? Glad there was an easy question... the answer is both. Both yield the most return so long as you evaluate them accurately, purchase correctly, update, maintain, and manage correctly.  

3. Is it worth it to hire a management company? I love having a property manager for my properties. The ones that cashflow well, I really don't even mind paying for property management. I do have some properties that don't cashflow well and I do self-manage some of those until they produce more income. 

I hope some of this helps and I would be happy to chat with you in more detail. 

Steve