Newbie from overseas (but looking at MSP, Minnesota)

[David Boley]

Hello everyone,

I'm writing from Africa where I have been working for the last three years. I've been listening to the BP podcasts and reading articles on the site and thought it's about time to introduce myself.

I'm interesting in renting out multi-family properties and (since I live overseas) using a property manager. I've been looking at duplexes for about the last year, but think I need to finally jump in and make my first purchase. I've been focusing my search mostly in the Minneapolis/St. Paul, Minnesota area. Ideally, I would like to house hack, but instead of living there permanently, use one half of the duplex for a summer "vacation home" for when I return from overseas for leave. Ultimately, I'd like to accumulate multiple properties to provide enough cash flow to retire and dedicate my time to my hobbies (e.g. opening a microbrewery!). 

I've been reading about cap rate, and cash on cash calculations, the 1% rule, and assuming I need to say things like "super cool" based on listening to the podcast. I'm also in my early 40's, which seems to be on the older side compared to many of you who are getting a jump on this much younger.

I'm open to any advice, suggestions, or tips that you may have. Immediately useful tips would be on topics such as:

  - Searching for and purchasing properties site unseen from afar

  - Best way to incorporate using a property manager into cash flow calculations

Thanks, David

[John Woodrich]

@David Boley

Welcome to BP. The market in our area has been pretty competitive the last couple years, investing from afar will be easier if you can setup a team of people you can trust. If you aren't going to live in the property I don't think you will be able to get in with a FHA or low down payment conventional loan but I would connect with @Tim Swierczek and discuss what your options are.  He invests in RE himself and is a local financing expert who has helped many investors in your position.

@Amber Gonion would be a good property manager to connect with.  Her and her husband personally invest in the areas you are looking into and they also manage properties for other investors in the area.