If you had to start over with only 30k, what would you do now?

[Brandon McLendon]

For all successful out of state investors. If you had to start over, knowing what you know now, how would you do it with only 30k?

I am trying to figure out my starting strategy for out of state investing. I am in California and need to start else where. I am so close to jumping in, Just thought I would ask a curious question. What would you do if you had only had 30-50k to spend?

Thanks all! Looking forward to your responses!

[James Wise]

Originally posted by @Brandon McLendon:

For all successful out of state investors. If you had to start over, knowing what you know now, how would you do it with only 30k?

I am trying to figure out my starting strategy for out of state investing. I am in California and need to start else where. I am so close to jumping in, Just thought I would ask a curious question. What would you do if you had only had 30-50k to spend?

Thanks all! Looking forward to your responses!

 $30k would best work as a down payment on a Midwestern duplex. You can pick up a really nice asset for the $80k-$120k price point. Below are some out of state best practices to follow so you can keep your money safe out there.

• Don't buy in the roughest neighborhood in the urban core. Pick a solid B-Class suburban area. Perhaps a nice 1950's built bungalow.
• Always hire a 3rd party property inspector to give you an unbiased feel for the home. The reports are 40-90 pages long and go through the entire house in great detail.
• Get an appraisal. If your using financing the bank requires this. This is good. The bank isn't going to let you blow their money. They have more skin in the game then you do.
• Make sure you get clear title. If using a lender this is a non issue. They will make you do this. It's those maniacs that buy homes cash via quit claim deed off of craigslist that really get screwed.
• Make sure your property manager is a licensed real estate brokerage.
• Understand you can not eliminate all risk, only mitigate it. If you are risk adverse real estate, (especially out of state) is not for you.