Long Distance Investor

[Carl Latting]

Hi BP Community,

My name is Carl and I invest in Arkansas (Little Rock and North Little Rock respectively). I would love to make connections with those who have questions about long distance investing as well as managing properties in B- /C+ communities.

I would also like to connect with Arkansas wholesalers and private money investors.

Thanks,

Carl

[Paul Thompson]

I find the debate over long distance investing very  intriguing. This is not my personal strategy (at least not yet). I'm an investor in the Central Arkansas Market. Which to my absolute delight is a strong cash flow market (as are many of the metro areas in "midwest" states). 

I'm a big advocate in investing where you understand. So if you have insight into this market and happen to live in Las Vegas I think it makes sense to invest where you have connections or the ability to create connections without much effort. I know the big players (hedge funds and big, established investors) invest outside of their backyard. I just suggest caution unless you are experienced and/or have solid local connections.

With that being said I'm starting to be warmed over to the concept of investing outside of your backyard provided you have the appropriate experience, local contacts, and scale.

To that end I know of a couple local investors and private money contacts (including myself) in the central Arkansas you can connect with. My question is how are you finding your deals by being remote??

I frequently get the question from sellers where are you? Are you from here? When I can say yes I'm a local investor I develop a little bit better rapport. I suppose saying you're from here or have connections locally you could assuage some sellers fears of being a long distance investor.

I think when investing remotely finding a good property or two is the most important team member. I know of several local property managers. But so far I've chosen to self manage b/c I haven't found that local partner that has the experience and systems that blow me away. I really like for property managers to also be real estate owners/investors as well. So far that has been in short supply in this market. But I'd be happy to refer you to those I know who are established or are owners/managers. 

Hit me up if you have further questions on the central arkansas market. I recently visited Memphis and Nashville as a reconnaissance trip to learn those markets better. They are getting significant interest as "hot" markets. Too date I'm full up with my back yard. But some day that might change....

Paul