1st Rental Property - Better to take a low return closer to home?

[Brian Dickerson]

After plenty of learning, my wife and I are now on our search for our first rental property investment. We live in South Florida, where its difficult to find a good cash flowing deal. We've actually found a few properties within 25 minutes of where we live that seem to have somewhat decent returns .. 9-10% CoC ROI , ~$150 net cash flow monthly. These numbers seem to go higher when we look Orlando / Tampa area (3-3.5 hours drive from us)

SO, let's say we were going to use a property management company right off the bat.  Why would you recommend staying local for our first property, or why not?

[Andrew Ashby]

@Brian Dickerson, my closest property is 2.5 hrs away in Jacksonville and my farthest properties are 8 hrs away in Chattanooga TN. That being said, I manage them myself remotely and I insist on being as physically involved as I can reasonably be. Conveniently, I have to pass through Chattanooga on my way to see my parents in Kentucky and I have to pass through Jacksonville on my way to see my in-laws in Maryland. I never pass through either of those cities without at least driving by my properties. The key is keeping your properties under your own thumb or with a property manager you trust, regardless of how far away they are. You must select properties and markets that fit your investment criteria and your goals.