New to BP, interested in out of state investing.

[Skyler Daniels]

I’m new to real estate, here to create relationships and connections. My criteria is out of state investing. Challenge my knowledge, make me think. Lol I’m Open to conversations.

[Wale Lawal]

@Skyler Daniels

I recommend you consider Dallas, TX!

The cash-on-cash return and appreciation are steady.

You should select a market that will meet your investment goals.

While there are numerous benefits to long distance real estate investing, there are some potential drawbacks as well. Here are some of the most common mistakes that long distance real estate investors make:

1. Choosing a market for the wrong reasons

Instead of selecting a market for objective reasons like a strong economy and job market, investors select a city for subjective reasons such as the area being a popular spot for family vacations.

2. Accepting mediocre returns

Sometimes investors try to rationalize paying more for a property because it’s turnkey and already has tenants. Money is made in real estate investing by buying at the right price in order to maximize returns. If the returns don’t measure up, simply move on to another rental property where the numbers make sense.

3. Depending on family members

Choosing a long distance market to invest in solely because a family member lives there is another common mistake.

Long distance investors hope that relatives will become tenants to keep vacancy low or handle any property management issues that come up to reduce operating expenses. By factoring in a “family discount,” owners create unrealistic financial projections for their long distance real estate investment.

Good Luck!