Aspiring New Investor - Boston MA

[Michael Rosenston]

Hi Everyone,

I'm 22 years old and am excited to get started in real estate. I grew up in Illinois and have been living and working in Boston since March 2016. I want to begin buy and hold, rental investing. Living in Boston makes that a difficult. I cannot afford afford property in the city and surrounding suburbs and don't think it would yield well anyway. So my question for everyone is: 

Should I look to invest

• elsewhere in MA such as Worcester 
• out of state, but nearby such as Providence, RI
• or any where in the country I can find a deal?

Keep in mind, I'm a beginner who hasn't done this before. However, I have taken the time to do my homework, read up, and go through beginner guides on this site and others.

Thanks,

Michael

[David Barnett]

@Michael Rosenston Sure, happy to answer how I sort of manage this.  I've been investing in Minneapolis.  I think the logistical part isn't as difficult as you might think.  The key is to find a realtor that you trust and a property manager that you trust.  That would be something you'd probably have to travel to work out.  I had part of my "team" set up in Minneapolis (my friend's best man at his wedding is a construction and real estate agent).  He goes and views the properties and sends me videos so I can take a look at them.  If I like the property and the numbers make sense, I go for it without ever having to go out and see the property.  Now, this comes with trust, so it might take a little while to get there with the team that you assemble.  You could also work as a hard money lender for a local real estate investor, learn the ropes and have them be your boots on the ground.  There are a few options here.  I found my property management company through Thumbtack.  

On the tax front, I do my own bookkeeping, but work with a local CPA (actually working with an EA - Enrolled Agent) firm to prepare my taxes.  I'm not a tax accountant and I highly recommend using a firm to help with the cross state tax filings, etc.  Money well spent!  Feel free to connect or pm me if there's anything else I can help with on my end.