New and Starting in Kansas Ctiy

[Michael B.]

Hello everybody,

My name is Michael, and I am ready to begin my journey into real estate. I graduated college a short time ago and worked as a broker for a third party logistics company located in Kansas City, MO. Now I have been given an incredible opportunity from somebody close to me who manages a private fund here in Kansas City.

Lets be honest. As a newbie to the business I don't know much. Why am I on Bigger Pockets? I was told and this was a great community for learning and receiving help. My goal is to purchase homes that have been renovated, have tenants, and are cash flowing.

The person lending me money told me people in California love properties in Kansas City. So, what is your criteria, or what do you look for when buying a house? I understand that are different variables and everyone's opinion varies.

Once again, I don't know much, but I understand this community is here to help. I am very grateful to be given this opportunity, and look forward to your responses.  

[Brant Richardson]

Californian who invests in KC here.  I look for a good price to purchase ratio - 1.5%, in a good neighborhood (Independence/Raytown or farther East), with good schools, in homes families want to live in long term (3 bed, preferably 2 bath).  My numbers don't look that good in a flow chart next to the expected numbers of guys buying in lesser neighborhoods but long term I expect my investments to be more profitable.  Out of state investors need to feel safe, they need to know they are in decent neighborhoods.

Opportunity with a private fund... what do Californians want?... targeting rent ready properties with tenants in place.  My guess is that you are building a turnkey company.

My advice is to invest your time in educating yourself.  Somebody who just finished college probably wants to puke when you hear that for the millionth time but I'm talking about learning useable information, not general ed.  Listen to the Podcasts available on BP, they are awesome.  The podcast guests recommend books too, if you do a quick search you can find the most often recommended books in the podcasts, all worth reading.  Get active in the forums, don't feel bad about asking newbie questions or even giving advice, sometimes being corrected on something you thought you knew is the biggest learning experience.