How to learn values of properties in a new city

Question

My name is Craig.  I just joined biggerpockets and I'm really impressed by what I have seen thus far.  I have a situation that maybe someone can provide some advice on how to approach.  We bought a house in St. George 5 years ago and moved my wife here for her health.  I continued to work in Salt Lake City and commute to see her for the next 4 years. I am now retired and I'm here full time.  I want to buy at least one rental property with the plan to hold on to it.  However, I don't know the areas of the city.  So I don't know what properties are worth in the various neighborhoods or what properties will rent for.  How can I find out this type of information?  I'm in the process of selecting a real estate agent that hopefully will help.  However, I'd like to do my own independent research to learn more about the area.  I just don't know where to start.  Any help would be appreciated.

Craig Coulson · Answer

Sorry it took so long to get back to you.  I am VERY HAPPY that you sent me a message on BP.  I was hoping to find a real estate investers group in St. George and you have it for me.  I've signed up to be part of the group and I will be at the meeting on the 19th.  I'm assuming I'll get an email telling me where/when it is.

Thanks for contacting me.

Craig

Justin Morgan · Answer

Hey @Craig Coulson,

I'm here locally, happy to help where I can.

You can join us monthly at Southern Utah Real Estate Investors Association (www.SUTREIA.com).

I have 1-2 good deals a month on rentals that I pass along to other investors.  Private Message me and I will add you to my VIP buyers.

Ali Boone · Answer

Welcome! And congrats on retirement :)

I would first learn rental property numbers. Understand where positive cash flow comes from (sounds obvious, but you'd be surprised). Then with that understanding, so you better know what you need out of someone, I would actually talk to some property managers over real estate agents. Agents typically don't understand investment properties, but they will tell you all day long they can find you one. Property managers are more on the investing side. If you find one who is also an agent, that would be perfect! I would also shout out on here asking if anyone invests in that area and if so, where do they invest and do they have any contacts they can refer you to.

Hope that helps!

Craig Coulson · Answer

Sashca

Thanks for the tip about checking at rentometer.doc.  Now that you mention it, I have looked at that site several years ago but I had forgotten about it.  I'll go check it out again.

BP is great.  Today is my first day using it and I've already got 2 great ideas from it.

Craig Coulson · Answer

Brian,

Thanks for the advice and I'd love you to look me up when you are in St. George the next time.  We could talk some real estate stuff, visit some properties and perhaps you could write off part of your trip as a business expense.  (Check with your accountant - I am not one).  I am talking with some agents now and I will ask them if they have any rental properties.  As an update, I am not completely new to the rental environment.  We have 2 rentals in Salt Lake but I didn't go out to seek them out and buy them.  Circumstances forced us into the rental business.  It has worked out but it would have been a lot better if I'd had some education first.

Brian H. · Answer

Hi @Craig Coulson welcome.

St. George is a great city. My family and I love to vacation there. If you are new to real estate investing and you are going to be hiring an agent to help you, I would seek out an agent in your area that is also a buy and hold real estate investor. They will be in a great position to advise you and help you reach your goals.

Sascha Weinberg · Answer

@Craig Coulson

Welcome to the site! As far as average rents go, you can check that at rentometer.com. Just enter the adress and the number od bedrooms and you get the average and median rent in that area. As far as prices go, there are abvious a couple of ways to determine a fair value.

Have a good one!

James Wise · Answer

@Craig Coulson

welcome to the site.