Looking to Start investing out of state

[Mark Saleh]

Hey Everyone,

Nice to meet you all. I have been reading, learning, and lurking around for the past few months on bigger pockets. I am looking to take my first step with real estate investing this year and I have some questions to ask all of you.

Some Background info:

Currently live in LA. I am looking to invest potentially in Bakersfield, Cincinnati, Fort Worth, San Antonio, Columbus, and open to any other suggestions.

I have ~ 30-40k ready to invest with, I am leaning towards the buy and hold scenario with help of a property manager. I have been running this through the BP calculator with tons of properties and I feel that I understand it well. Also open to other strategies.

Questions

Real Estate Agents

• How do you look for, and who do you trust to be your agent that will help you invest in multiple properties?
• Should I use the Real estate agent to find most of my properties, or is it best to look around on Trulia/Zillow.
• When it comes to direct mailing, should I use the agent for this? Or should I do this on my own?

Property Managers

• Where do most of you look for property managers?
• For property managers, is it better to find a company with low rates? Or is there a better way in finding PMs?

How to start

• What is the most efficient way to start?

[Zane Zeigler]

@Mark Saleh Welcome to BP! Sounds like you are taking the right steps by learning and gathering information before you jump in. I am in Ft. Worth, which can be a great place to invest. Just keep in mind that Texas has high property tax compared to other states (top 5 in the country). This can be a challenge for investors from California, which also has high income tax. Just something to keep in mind when comparing markets.

Real Estate Agents:

- There are plenty of posts on BP about questions to ask real estate agents. You'll find about as many opinions on the best agent as you'll find agents. Some people recommend finding the agent that sells the most properties while others will recommend using an agent that works specifically with investors. Either can work, I think it should come down to how YOU feel after talking to them. 

- Zillow and other sites is ok to start, but you'll find they generally lag the local MLS. So I think you'll want an agent once you are serious about a certain market.

- Direct mailing is something usually handled by the investor not the agent. You will want to be the one deciding on where the letters are being sent, what they look like, what they say, etc. 

- Lastly, once you find your area, I would recommend traveling there and meeting with agents face-to-face. Agents get a lot of contact from out of state investors that are "interested" but never buy a property. Show them you are serious and ready to buy a deal when it comes up. 

Property managers can be found online. However, the best are usually found by referral from other investors or agents in the area. Good Luck!

-Zane